September 09, 2026
On September 8, 2026, Weil secured a significant victory for The Kroger Co.’s directors and former chief executive officer, obtaining the dismissal of all claims in a shareholder derivative action brought in the Court of Common Pleas in Ohio.
Plaintiff attempted to hold Kroger’s directors and former chief executive officer liable for the Company’s exposure related to the nationwide opioid crisis. Plaintiff alleged that Kroger’s board of directors failed to oversee the Company’s distribution of opioids, which, according to plaintiff, culminated in Kroger being named in numerous lawsuits concerning opioid distribution, and the Company suffering nearly $1.7 billion in damages. The complaint asserted two derivative claims for breach of fiduciary duty.
In his order granting defendants’ motion to dismiss, Judge Jenkins adopted Weil’s arguments, advanced in its briefs and at oral argument, holding that the complaint failed to allege with particularity that demand was futile. Judge Jenkins stated that “[b]ecause the [c]omplaint relies on the ‘bare allegation’ that the directors could be subject to liability is insufficient to establish futility, and does not allege why the directors cannot exercise independent, unbiased judgment, the [c]omplaint does not allege with particularly that a demand was futile.” Accordingly, the Court dismissed all claims against all defendants.
The Weil team for defendants was led by global Litigation Department Co-Chair John Neuwirth, partner Matthew Connors and counsel Tanner Stanley, and included associates David Garfinkel, Eric Grayson, William Ryan and Brian Zharov.