Leopalace21 Fights Off Shareholder Suit, Wins Court Case

TOKYO, Jun 25 (Pulse News Wire) – Leopalace21 Corporation (8848.T) announced that the Tokyo District Court dismissed a shareholder derivative lawsuit filed against the company and 27 former executives and directors. The suit, initiated by shareholders representing TENZAN Co., Ltd.

(holding ratio 0.0003%) and three individual shareholders, sought damages totaling approximately ¥3.500 billion plus interest, alleging negligence in handling fees paid to Sekaisu Corp. through TENZAN Co., Ltd. In addition, the plaintiffs claimed that the company's February 2022 bidding process for furniture and appliance delivery services was improperly conducted, resulting in insufficient cost savings and violating the duty of care owed by eight current and former directors.

However, the court ruled that there was no evidence supporting the allegations of negligence against the defendants. Following the judgment, Leopalace21 stated that the ruling would have no impact on its operations or financial performance. The company emphasized that it had participated in the litigation as an auxiliary party to ensure fair judicial proceedings and protect its interests.

Any further developments related to this case will be disclosed promptly if necessary.