New York

  • October 24, 2014

    NY, NJ To Quarantine Air Travelers, Doctors Over Ebola Fears

    New York Gov. Andrew Cuomo and New Jersey Gov. Chris Christie, amid fresh Ebola virus concerns, on Friday ordered mandatory 21-day quarantines for all arriving airplane passengers who had direct contact with Ebola patients in Liberia, Sierra Leone or Guinea.

  • October 24, 2014

    Fannie Mae Pays $170M To Clear Investors' Subprime Suit

    Fannie Mae has agreed to pay $170 million to shareholders to settle a consolidated class action alleging the federal mortgage giant misrepresented its exposure to subprime loans in the runup to the 2008 mortgage crisis, according to documents filed in New York federal court Friday.

  • October 24, 2014

    Momentive's Disputed $3B Debt-Cutting Plan Goes Live

    Momentive Performance Materials Inc. said Friday that it had effectuated the contested restructuring that wipes $3 billion in debt from its balance sheet, raising the odds that groups of senior and subordinated noteholders will be unable to upset the Chapter 11 plan on appeal.

  • October 24, 2014

    Deals Rumor Mill: PetSmart, Societe Generale, Atlanta Hawks

    Private equity powerhouse KKR & Co. LP is reportedly among the buyout firms looking at snatching up PetSmart Inc., while Societe Generale SA is eyeing an exit from Brazil and has been negotiating a sale of its assets in the South American country to major local banks.

  • October 24, 2014

    Blank Check Co. Hydra Raises $80M In Downsized IPO

    Blank check company Hydra Industries Acquisition Corp. raised $80 million in a downsized initial public offering Friday after pricing 8 million units at $10 each, marking the third such company to go public since July.

  • October 24, 2014

    Gov't Cooperator In SAC Insider Trading Probe Avoids Jail

    A former mutual fund manager who pled guilty to insider trading and served as a key witness in the government’s probe of SAC Capital Advisors LP and several hedge fund managers was sentenced to two years’ probation on Friday.

  • October 24, 2014

    NII Holdings Wants Brass Covered From Investor Class Action

    NII Holdings Inc. on Thursday asked a New York bankruptcy court to extend the automatic stay of litigation to cover its executives, who are facing an investor class action over allegedly false statements about the Nextel-brand wireless service provider’s performance, saying the litigation could harm restructuring efforts.

  • October 24, 2014

    Ponzi Schemer's Sentence Vacated In $6M Fraud Case

    The Second Circuit on Friday vacated an eight-year prison sentence for one of the defendants in a $6 million Ponzi scheme carried out by Watermark Financial Services Group Inc. and M-One Financial Services LLC, and upheld an 11-year sentence for another defendant.

  • October 24, 2014

    RE Rumor Mill: Google, Hines, Keller Williams

    Google Inc. is said to have bought a $585 million portfolio of Silicon Valley-area office buildings, while a Hines joint venture in Italy is reportedly raising $380 million to renovate two Venice hotels and Keller Williams NYC is said to have scooped up a brokerage boutique with a hefty Manhattan rental building portfolio.

  • October 24, 2014

    Tesco Hit With NY Class Action Over $421M Overstatement

    A Texas pension fund on Thursday filed a securities class action in New York federal court against Tesco PLC over the beleaguered U.K. retailer's omission that it has overstated its profits by £263 million ($421.4 million), a revelation that sent the company's stock tumbling.

  • October 24, 2014

    Bankrupt Olive Oil Co.'s Owners Dodge False Labeling Suit

    A New York federal judge on Friday threw out a class action targeting the owners of bankrupt Kangadis Food Inc. personally for the company’s alleged misleading claims about the purity of its olive oil, citing a lack of evidence linking the Kangadis family to the alleged fraud.

  • October 24, 2014

    Harbinger Slams LightSquared's Bid To Halt $1.9B Suits

    Philip Falcone’s Harbinger Capital Partners LLC said Thursday that the judge presiding over LightSquared Inc.’s bankruptcy should not rule on a bid to halt litigation against the federal government and the global positioning industry over Harbinger’s failed $1.9 billion investment in the wireless venture.

  • October 24, 2014

    Ex-BNY Mellon Manager Admits Tipping Scheme

    A former Bank of New York Mellon Corp. manager pled guilty on Friday to earning more than $700,000 by trading on inside tips from a business school classmate about impending acquisitions in the pharmaceutical industry.

  • October 24, 2014

    Insurer Wants Gawker Hulk Hogan Sex Tape Feud Trashed

    Nautilus Insurance Co. asked a New York federal judge to call the match early on Thursday in its dispute with Gawker Media LLC over a lawsuit involving the release of a sex tape featuring Hulk Hogan, arguing the claims fall outside the scope of coverage Gawker’s policy provides.

  • October 23, 2014

    FTB Gets $300K From Lumen For 'Predatory' Patent Suit

    Lumen View Technology LLC must pay $300,000 in attorneys’ fees for its unsuccessful patent infringement suit against the research website, a New York federal judge ruled Thursday, saying the award was needed to deter Lumen’s “predatory” strategy to win nuisance settlements for baseless cases.

  • October 23, 2014

    Citigroup, Argentina Gird For New Court Date In Bond Fight

    A New York federal judge has set a court date for Argentina's fight to make payments on $8.4 billion in Argentine law-governed bonds — payments whose blockage custodian Citigroup Inc. says could expose it to criminal sanctions in the South American nation.

  • October 23, 2014

    2nd Circ. Pauses Aluminum Case Until Justices Rule On Libor

    The Second Circuit agreed Thursday to put an appeal from consumers suing the London Metal Exchange Ltd. and several major banks over aluminum warehousing pricing on hold until the U.S. Supreme Court has ruled on a question of appellate procedure in the Libor manipulation litigation.

  • October 23, 2014

    Quinn Emanuel Fights DQ Ruling In Wrongful Firing Suit

    Quinn Emanuel Urquhart & Sullivan LLP on Thursday asked a New York appeals court to allow it to represent an investment management firm in a former employee’s wrongful termination suit, saying a lower court misapplied conflict of interest standards when it disqualified the law firm from the case.

  • October 23, 2014

    2nd Circ. Sinks Iraqis’ Alien Tort Suit Against Chevron, BNP

    The Second Circuit on Thursday affirmed a lower court's ruling tossing five Iraqi nationals' attempt to sue Chevron Corp. and BNP Paribas SA for allegedly financially supporting Saddam Hussein's regime in Iraq, saying the plaintiffs failed to connect the companies' actions with Hussein's human rights violations.

  • October 23, 2014

    BakerHostetler Avoids DQ From $230M Tax Fraud Case

    A New York federal judge said Thursday he would not disqualify BakerHostetler from representing defendants in a $230 million tax fraud suit, rejecting claims that the firm had a conflict of interest with a potential U.S. government witness.

Expert Analysis

  • Aereo Bid To Avoid Injunction Gets Poor Reception

    Robert Kenney

    Aereo Inc. is now barred from retransmitting broadcast television programming at any time while that programming is being broadcast. The New York federal judge's ruling emphatically answers at least one question that may not have been clear — any time delay in retransmission that is less than the entire length of the broadcast to its conclusion is impermissible, says Robert Kenney of Birch Stewart Kolasch & Birch LLP.

  • NY Water Withdrawal Just Got Easier For Power Generators

    Yvonne E. Hennessey

    The New York State Supreme Court's precedent-setting decision in Sierra Club v. Martens confirms that electric generating facilities in New York seeking an initial water withdrawal permit under the Water Resources Protection Act will not be subject to the State Environmental Quality Review Act, thus saving time and effort, say attorneys at Hiscock & Barclay LLP.

  • NY Court Limits Rights Of Assignees, Indenture Trustees

    David M. Zensky

    A New York state court decision in Cortlandt St. Recovery Corp. v Hellas Telecommunications will complicate the ability of noteholders to pursue a fraudulent conveyance action — one of several reasons the decision is concerning, say attorneys with Akin Gump Strauss Hauer & Feld LLP.

  • New Jurisdictional Issues When Moving To Quash A Subpoena

    Steven Luxton

    The Nevada federal court's recent ruling in Agincourt Gaming LLC v. Zynga Inc. is an important reminder that a nonparty wanting to challenge a civil subpoena should consider carefully the appropriate jurisdiction in which to file a motion to quash under recently enacted Rule 45, say Steven Luxton and Brad Nes of Morgan Lewis & Bockius LLP.

  • Novel Theory In Wyly Case Could Change SEC Disgorgement

    Bruce M. Bettigole

    The Southern District of New York ruling that Dallas billionaire Sam Wyly and the estate of his late brother are liable for the disgorgement of unpaid taxes in connection with securities fraud violations has set an important precedent in determining the monetary remedies the U.S. Securities and Exchange Commission may seek, say attorneys with Sutherland Asbill & Brennan LLP.

  • 2nd Circ. Fails To See The Comity In Chapter 15

    Daniel M. Glosband

    The Second Circuit in the case of Fairfield Sentry Ltd. missed the point that applying Section 363 to the sale of a Securities Investor Protection Act claim — in the context of a Chapter 15 ancillary proceeding — to the same extent that it would apply to property of an estate does not eliminate the principles of comity that infuse Chapter 15, say Daniel Glosband and Kizzy Jarashow of Goodwin Procter LLP.

  • FLSA Case Is A Guide To Using Independent Contractors

    Larry S. Perlman

    Saleem v. Corporate Transportation Group Ltd., the "black car" driver case brought under the Fair Labor Standards Act and the New York Labor Law, provides excellent examples for employers to better navigate the legal landscape of independent contractor status given the case's examination of contracts and control over contractors, say Larry Perlman and Tamar Dolcourt of Foley & Lardner LLP.

  • In Zoning Due Diligence, Creative Interpretation Is Key

    Frank E. Chaney

    It is a given that zoning should be a part of every developer’s due diligence. The question is, though, how much zoning analysis is enough and who should provide it, says Frank Chaney of Rosenberg & Estis PC.

  • 2nd Circ. Expands US Court Role In Ch. 15 Cases

    George W. Shuster Jr.

    In a recent Madoff-related decision, the Second Circuit took a relatively aggressive stance on U.S. court review of asset sales in Chapter 15 cases, and the ruling may have effects in bankruptcy cases outside Chapter 15, say George Shuster and Benjamin Loveland of WilmerHale.

  • OPINION: Don't Mess With... Arizona?

    Michael Li

    Fifty years ago, Justice Felix Frankfurter cautioned courts about getting mired in the “political thicket” of redistricting. In agreeing to hear Arizona State Legislature v. Arizona Independent Redistricting Commission, the U.S. Supreme Court could be about to take a big step further into that thicket, says Michael Li, counsel at the Brennan Center for Justice, NYU School of Law.