BloombergLaw.com is reporting that a WWE stockholder is suing the company for a possible breach of duties by Vince McMahon and other senior officers by diverting “valuable resources” for McMahon’s relaunch of the XFL football league. The report notes the following:
The lawsuit, filed Dec. 26 in Delaware Chancery Court by an Oklahoma firefighters pension fund, claims there is “a credible basis to believe” that McMahon and other WWE senior officers breached their duties to investors by diverting valuable resources to the XFL.
The suit also suggests that the company’s board members may have failed to conduct appropriate oversight to ensure McMahon didn’t engage in transactions that conflict with WWE’s interests.
