HOUSTON (Reuters) -A U.S. choose on Monday dismissed a lawsuit Exxon Mobil (NYSE:) had filed in opposition to activist group Arjuna Capital after the group had agreed to not pursue future proxy filings on the firm’s annual conferences.
The lawsuit by the most important U.S. oil firm had raised alarm amongst activists and public pension buyers who argued it will muzzle debate amongst shareholders and public firms.
U.S. District Court docket Decide Mark Pittman dominated Exxon’s declare was not legitimate after Arjuna “unconditionally and irrevocably” agreed to not submit a future proposal concerning Exxon’s greenhouse fuel emissions.
“The courtroom can not advise Exxon of its rights with out a stay case or controversy to set off jurisdiction” and Arjuna’s pledge to not file comparable decision sooner or later “has eradicated any case or controversy,” Pittman wrote.
Pittman’s dismissal was with out prejudice, which means Exxon might refile its case sooner or later.
Arjuna and Comply with This, a Netherlands-based environmental group, had proposed a decision calling on stockholders to request the oil main set new targets for lowering a few of its greenhouse fuel emissions.
Exxon sued the pair in January and refused to drop the case after they agreed to not convey the petition ahead, citing “the chance” the 2 might file comparable resolutions sooner or later. Pittman final month had dropped Comply with This from the case because the group was exterior his courtroom’s jurisdiction.
