Ondo Finance control dispute heads to Delaware court

A corporate control battle is underway at Ondo Finance following the death of its founder, with his estate and the company's current chief executive locked in a legal dispute over who lawfully leads the tokenized securities firm. The conflict, now before the Delaware Court of Chancery, centers on the succession of Nathan Allman, who died in late May while serving as Ondo's CEO, sole director, and controlling shareholder.

According to court filings, the voting power attached to Allman's shares became part of his estate after his death. His mother, Kathleen Allman, was appointed personal representative of the estate by a Hawaii court on June 26, which she asserts gave her the authority to exercise those voting rights. The estate alleges that before this appointment, former President Ian De Bode improperly claimed he automatically became CEO under the company's bylaws, elected himself as sole director, and began taking corporate actions. The estate contends the bylaws required board action to fill the CEO vacancy, rendering De Bode's actions invalid.

After gaining authority, Kathleen Allman initially sought a cooperative transition. However, the estate claims that after De Bode and...