Facebook reportedly settles lawsuit over voting structure – CNET


Facebook reportedly settled a lawsuit over Mark Zuckerberg’s voting power. 

James Martin/CNET

Facebook CEO Mark Zuckerberg was expected to take the stand Tuesday in a high-profile investor lawsuit. But there’s apparently no need for that now, because the social network has settled the suit, according to a report Friday by Business Insider.

The lawsuit, originally filed in April 2016 in Delaware, focused on Zuckerberg’s desire to create a new class of nonvoting shares. Zuckerberg has said the restructuring would let him sell his shares for philanthropic causes. After his first daughter, Max, was born in December 2015, Zuckerberg and his wife, Priscilla, announced a new organization called the Chan Zuckerberg Initiative to focus on charitable work and philanthropy.

Some shareholders in the class-action lawsuit, though, argued the restructuring could lessen their value in the company.

The terms of the settlement weren’t revealed.

Neither Facebook nor a spokesperson for the Delaware court system immediately responded to a request for comment. 

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