November 28, 2016 (Shareholders Foundation) - An investor, who purchased shares of IAC/InterActiveCorp (NASDAQ:IAC), filed a lawsuit in Delaware Chancery Court over alleged breaches of fiduciary duties.
The plaintiff alleges that IAC/InterActiveCorp’s controlling shareholder, Barry Diller, schemed to create a new non-voting class of stock for the purpose of maintaining the Diller family’s voting control.

The plaintiff says that Barry Diller and his family own less than 8% of IAC/InterActiveCorp’s outstanding stock, yet wield 44% of the Company’s voting power through supervoting Class B shares.

In particular, the plaintiff alleges that the Defendants breached their fiduciary duties by agreeing to the Proposed Reclassification, at the expense of minority stockholders, to unfairly perpetuate Diller and his future heirs' control of IAC/InterActiveCorp and entrench themselves in office and by failing to disclose the true motivation behind the Proposed Reclassifications.

IAC/InterActiveCorp reported that its annual Total Revenue rose from over $3.1 billion in 2014 to over $3.23 billion in 2015.