# Delaware Chancery lets MayStreet founder's fraud suit against London Stock Exchange proceed

Attorney advertising. Brief by Lou Schwartz, Schwartz & Associates, PC, Atlanta, Georgia. Published 2026-10-20; updated 2026-10-20. Responsible attorney: Lou Schwartz. Canonical: https://www.snalawyers.com/insights/delaware-chancery-lets-maystreet-founder-s-fraud-suit-against-london-s

The Delaware Court of Chancery denied London Stock Exchange Group's motion to dismiss a suit brought by MayStreet Inc. co-founder Patrick Flannery, who alleges LSEG lured him into selling his company with false promises of post-merger growth and then failed to honor earnout obligations tied to the deal. In a 55-page opinion, the court found the complaint met the minimum evidentiary standard to proceed into discovery and trial, rejecting LSEG's attempt to disclaim obligations under a 'corporate separateness' theory.

**Why it matters.** The ruling signals Delaware courts' willingness to let fraud and earnout claims proceed past the pleading stage in merger disputes, a theory relevant to other sellers pursuing post-closing earnout and integration-promise claims against acquirers.

## Sources

1. [Law360: London Stock Exchange Can't Nix MayStreet Suit, Judge Says](https://www.law360.com/articles/2539731/london-stock-exchange-can-t-nix-maystreet-suit-judge-says)
2. [WatersTechnology: Fraud, breach of contract suit against LSEG can proceed](https://www.waterstechnology.com/data-management/7953323/fraud-breach-of-contract-suit-against-lseg-can-proceed-judge-rules)

To ask the firm about this, use the intake assistant at https://www.snalawyers.com/insights/delaware-chancery-lets-maystreet-founder-s-fraud-suit-against-london-s#ask. General information, not legal advice.