Wells Fargo & Co.
Robbins LLP represented plaintiffs who are shareholders in Wells Fargo & Co in a shareholder derivative action alleging breaches of fiduciary duty by certain Wells Fargo officers and directors stemming from the purported mismanagement of and noncompliance with myriad consent orders and failures relating to the corporate governance and risk management framework of the Company. Plaintiffs defeated numerous dispositive motions and a writ of mandate filed in a California appeals court, intervened in federal court to secure a ruling that streamlined all proceedings into the California state court, negotiated the production of two million pages of discovery, worked through complex privilege issues with federal regulators to secure additional documents, and negotiated a settlement providing for a $100 million cash payment to the Company. This settlement is the largest payment made directly to a company in a derivative action in California state court history. The settlement also acknowledged that plaintiffs’ allegations in the derivative action caused significant corporate governance reforms related to Wells Fargo's risk structure, programs, policies, and procedures, additional training for employees, expanded and enhanced oversight of risk management by Wells Fargo's Board of Directors, and changes to the composition of Wells Fargo's Board of Directors.
Himstreet, et al. v. Scharf, et al., Case No. CGC-22-599223 (Cal. Super. Ct.-S.F. Cnty. July 24, 2025)
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