The Delaware Supreme Court on December 3, 2025 affirmed the Court of Chancery’s post‑trial decision that dismissed all claims against IDT Corporation in the class‑action lawsuit brought by former Straight Path Communications shareholders. The ruling confirmed that the shareholders did not suffer any damages from the 2017 sale of Straight Path to Verizon and that IDT faced no liability for the claims.
The decision follows an October 2023 Court of Chancery ruling that found controlling shareholder Howard Jonas had breached fiduciary duty but that no damages flowed from the transaction. By upholding that dismissal, the Supreme Court removes a “material legal overhang” that had lingered for two years, allowing IDT to focus on its strategic pivot to fintech and SaaS without the threat of future litigation costs or reputational harm.
Financially, IDT reported record adjusted EBITDA of $129 million for fiscal 2025, a 43% increase from the prior year, driven by strong performance in its National Retail Solutions (NRS) and BOSS Money segments. NRS recurring revenue rose 27%, while BOSS Money processed over 23 million remittance transactions, underscoring the company’s successful transition from legacy telecom services to high‑margin fintech offerings. The company’s trailing‑twelve‑month revenue of approximately $1.23 billion reflects continued growth in these core segments.
CEO Shmuel Jonas said the ruling “puts to rest this lawsuit by affirming the Court of Chancery’s decision and vindicates IDT’s position.” He added that the outcome “removes a significant liability and allows us to fully concentrate on building our fintech and SaaS platform, where we see the greatest growth opportunities.” The comment signals management confidence that the legal victory will free resources for investment in technology and market expansion.
The ruling is expected to reinforce investor confidence in IDT’s legal and strategic trajectory. While the company’s stock price is not discussed here, the removal of potential litigation costs and the confirmation of no damages to shareholders are likely to be viewed positively by analysts and investors who track IDT’s transformation and risk profile.
Future guidance from IDT remains unchanged, but the company’s focus on fintech and SaaS is expected to continue driving revenue growth and margin expansion, with management emphasizing continued investment in high‑return verticals and cost discipline to sustain profitability.
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