A proposed class of Johnson Controls shareholders asked a Wisconsin federal judge Friday to force the company to assume any inversion-related taxes arising from its $16.6 billion merger with Tyco, arguing that the deal foists what should be the company's tax burden on common shareholders.
The sentencing of a former concert promoter who admitted to a $207 million investor fraud scheme extended into a second day in Miami federal court Friday as the defendant sought leniency by presenting witnesses who discussed his bipolar disorder and the purported mishandling of assets by a receiver.
Former Texas tycoon Sam Wyly has agreed to pay $198 million to settle securities fraud claims by the U.S. Securities and Exchange Commission over an alleged offshore trading scheme he ran with his late brother, according to a court filing Friday in New York federal court.
Hedge funds and private equity funds chasing high returns in locales known for corruption will be dusting off their compliance programs to avoid running afoul of the Foreign Corrupt Practices Act after Och-Ziff Capital Management Group LLC was slapped with nearly $413 million in fines and penalties Thursday for bribing African government officials.
Investigations counsel frustrated by drawn-out Foreign Corrupt Practices Act investigations should run the issue up the enforcement food chain, Brooklyn federal prosecutor James Loonam told a gathering of attorneys on Friday.
Two insurance companies on Thursday hit the executives of a reinsurance company with a $50 million Racketeer Influenced and Corrupt Organizations Act suit in New York federal court alleging they secretly invested the insurers’ assets in Platinum Partners LP funds due to an agreement between the companies.
BP PLC on Friday urged the Ninth Circuit not to revive a class action accusing it of misleading shareholders about a corroding Alaska pipeline that ended up spilling tens of thousands of gallons of crude oil into the ocean, arguing the shareholders don’t have standing.
Winged Foot Golf Club and the public company that owns the land beneath it will not have to hand over documents relating to a 1961 memo from law firm Kelley Drye, as a New York federal judge in a shareholder derivative case ruled Friday that attorney-client privilege applied.
Reports on Friday that the U.S. Department of Justice and Deutsche Bank have reached a settlement over the German bank’s mortgage-backed securities sales that is far lower than the $14 billion that the U.S. originally sought has critics claiming that big banks remain too big to jail.
An Illinois federal judge on Friday allowed Walgreen Co. to escape most of a proposed investor class action accusing the pharmacy and two former executives of deceiving investors in relation to the purchase of Alliance Boots GmbH, saying they failed to show the misleading nature of many of the statements at issue.
The Delaware Supreme Court on Friday upheld a Chancery Court decision tossing fraud counterclaims that erupted in a layered dispute over the $200 million purchase of Kentucky-based trucking company A&R Logistics Inc., ruling that Chancellor Andre G. Bouchard correctly decided they lacked a “physical nexus” to Delaware.
Chesapeake Energy Corp. on Thursday asked the Second Circuit to reconsider its refusal to undo a ruling requiring the company to pay $439 million for cashing in bonds it had issued early, arguing the panel had “entirely failed” to take equitable principles into account.
An Illinois federal judge on Thursday tossed a derivative suit alleging construction vehicle maker Caterpillar Inc. rubber-stamped its 2012 purchase of Chinese manufacturer Siwei months before it announced a $580 million loss on the purchase, ruling that the complaint makes plain that the company conducted an adequate review.
The Huff Energy Fund LP lost a round Thursday in its long multistate battle with Longview Energy Co., when a Delaware Chancery judge tossed all of Huff’s challenges to Longview’s planned windup of the company and shutdown of stock distributions and transfers.
Investors in Federal-Mogul Holding Corp. launched lawsuits in the Delaware Chancery Court on Friday challenging a takeover bid by Carl Icahn’s private investment vehicle, arguing the deal, which values the auto parts-maker at nearly $1.6 billion, has “an unreasonably low price” and is “marred” with conflicts.
A Louisiana federal judge on Friday refused to grant investment managers’ bid to dismiss a suit by three state pension funds against the managers arising out of the funds' $100 million purchase of an insolvent investment vehicle, rejecting the managers’ claims they are not subject to personal jurisdiction.
U.K. drugmaker GlaxoSmithKline PLC will pay $20 million to the U.S. Securities and Exchange Commission to settle claims that it violated the Foreign Corrupt Practices Act through a scheme to bribe doctors in China to increase sales, according to an SEC order on Friday.
Sen. Mark Kirk, R-Ill., on Thursday introduced a Senate bill that would force the SEC to repay national securities exchanges and other self-regulatory organizations for 10 years' worth of overpaid fees.
Investors in the now-defunct financial advisory firm The Nutmeg Group won a partial victory Friday on claims against its receiver, a Barnes & Thornburg LLP partner, when an Illinois federal judge agreed to dismiss two of her affirmative defenses.
Teva Pharmaceutical Industries Ltd. defeated a former executive's claims she was fired after she started cooperating with authorities on a bribery investigation when a Florida federal judge ruled Friday there was evidence showing the company had other reasons to want the executive out.
Had Wells Fargo followed best practices under the Sarbanes-Oxley Act, CEO John Stumpf could have been spared his ongoing shaming by Sen. Elizabeth Warren, his further grilling before the Financial Services Committee of the U.S. House of Representatives — and possibly the end of his own career, says R. Scott Oswald of The Employment Law Group PC.
The U.S. Securities and Exchange Commission's recent enforcement action under the Foreign Corrupt Practices Act against Nu Skin Enterprises highlights the risks of making charitable donations in high-risk countries without conducting meaningful anti-corruption due diligence, say Benjamin Klein and Louis Ramos of Morgan Lewis & Bockius LLP.
The U.S. Supreme Court’s decision in Salman — set for oral argument Oct. 5 — not only will affect the government’s investigation of and decision to prosecute insider trading cases going forward, but will also have significant ramifications for pending insider trading cases such as U.S. v. Stewart in the Southern District of New York, say Glen Kopp and Jennifer Gordon of Bracewell LLP.
In a sneak preview of the fall edition of Legal Communication & Rhetoric, Professor Michael Higdon of the University of Tennessee College of Law explores the negative reactions to "vocal fry," the accusations of sexism those reactions have engendered, and what all this means for female attorneys.
Though the U.S. Securities and Exchange Commission has made cybersecurity issues a top priority, it appears that very few public companies are actually disclosing data breach incidents in their SEC filings. The current disclosure practices could be a concern for investors — and for directors and officers insurance underwriters, says Kevin LaCroix of RT ProExec.
Often lost in discussions about Alexander Hamilton is that he was an extremely important New York lawyer. He had an extensive law practice until his death in 1804 and he wrote what is considered to be the first treatise in the field of private law. Ultimately, Hamilton certainly did get "a lot farther by working a lot harder, by being a lot smarter, by being a self-starter," says Randy Maniloff of White and Williams LLP.
The Seventh Circuit's recent decision in Allen v. GreatBanc Trust made it the first court to expressly reject Fifth Third Bancorp v. Dudenhoeffer's application to plan investments in privately held stock. The decision clarifies a plaintiff's burden to plead a prohibited-transaction claim under Section 406 of the Employee Retirement Income Security Act, say Chelsea Ashbrook McCarthy and Louis Joseph of Holland & Knight LLP.
Sorry, fellow lawyers, judges and legislators, but the jig is up. It’s time to show the public the cards up our sleeves and give them a chance to weigh in on the fairness of a system that touches so many aspects of their everyday lives, says Chas Rampenthal, general counsel of LegalZoom.
Recognizing the ever-dwindling number of multidistrict litigation proceedings, Alan Rothman of Kaye Scholer LLP explores the three alternatives to MDLs which the Judicial Panel for Multidistrict Litigation has recently considered in denying and/or mooting MDL petitions.
The Second Circuit's decision last week in American International Group Securities Litigation creates a split in how courts define the term “affiliate” in class action securities settlements. Settling defendants should consider pressing for the elimination of the term completely, say attorneys with Paul Weiss Rifkind Wharton & Garrison LLP.