Korsmo, Charles R.; Myers, Minor --- "The deterrence value of stockholder appraisal" [2016] ELECD 1217; in Hill, A. Claire; Davidoff Solomon, Steven (eds), "Research Handbook on Mergers and Acquisitions" (Edward Elgar Publishing, 2016) 335

Book Title: Research Handbook on Mergers and Acquisitions

Editor(s): Hill, A. Claire; Davidoff Solomon, Steven

Publisher: Edward Elgar Publishing

ISBN (hard cover): 9781784711474

Section: Chapter 16

Section Title: The deterrence value of stockholder appraisal

Author(s): Korsmo, Charles R.; Myers, Minor

Number of pages: 17

Abstract/Description:

This chapter provides an overview of modern appraisal litigation, describes a backlash among defendants and their advisors, and evaluates the chief potential argument levied against appraisal. The principal justification for appraisal is that, at the margin, it deters transactions that would deliver too little value to stockholders, as compared to remaining independent. The available evidence suggests that appraisal can serve this deterrence function better than other forms of merger-related litigation.