Anthony Rickey and Keola Whittaker tackle the titular question in a WLF Backgrounder. It concludes:
While there are some preliminary indications of a short-term decline in merger litigation, this may not last. Trulia’s influence will be clearer once courts outside of Delaware consider its reasoning and explicitly adopt or reject its approach. However, if non-Delaware courts remain willing to approve disclosure-only settlements and generous fee awards, Trulia may simply drive weak claims to other jurisdictions.
Given recent trends, enterprising plaintiff's attorneys may file merger-related shareholder lawsuits outside of Delaware as vehicles for disclosure-only settlements precluded by Trulia. In turn, Delaware defendants may decide not to adopt or enforce a Delaware forum-selection clause so that they may obtain a broad release in a more settlement-friendly jurisdiction.
