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Make ’em Eat Cake: Delaware Chancery Court Finds Pandemic Was Not an MAE

July 14, 2021 (1 min read)

In Snow Phipps v. KCAKE Acquisition, the Delaware Court of Chancery ordered the buyer (private equity firm Kohlberg) to close on its $550 million agreement to purchase DecoPac, a cake decorations supplier, rejecting, inter alia, the buyer’s claim that the COVID-19 pandemic resulted in a material adverse effect. Check out this article discussing this much anticipated post-trial decision.

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