Robbins LLP worked with the parties to derivative litigation filed on behalf of the Internet’s leading vitamin and supplement retailer, Vitacost.com, Inc., to save the $158 million market cap company from bankruptcy and to preserve the equity interests of its shareholders. Robbins LLP was instrumental in achieving a settlement that enabled the company to bring its financial statements and SEC filings current, allowed Vitacost to hold a long-overdue shareholder meeting to address fundamental defects in the corporation’s formation, board composition and past stock issuances, and helped the company to persuade NASDAQ to lift its trading moratorium and provide the company and its shareholders access to the capital markets. The firm worked with the company’s new board of directors to implement a series of corporate governance best practices, including a robust insider trading policy. Vitacost hired Robbins LLP to evaluate and potentially to prosecute the company’s claims against other parties relating to the defects in its formation, stock issuances and other pre-IPO issues.
Kloss v. Kerker, No. 50-2010-CA-018594-XXXX-MB (Fla. Cir. Ct.-Palm Beach Cnty. May 27, 2011)