Lehman Unit Says AG Financial Owes $1.4B Contract Fee

Law360, New York (November 28, 2011, 9:09 PM EST) -- A European subsidiary of bankrupt Lehman Brothers Holdings Inc. sued AG Financial Products Inc. in New York state court Monday for allegedly breaching a contract for securities transactions by improperly calculating a termination amount far less than the $1.4 billion it claims it is owed.

Lehman Brothers International (Europe) says AG's calculation that LBIE owes $24.8 million upon early termination of the contract was calculated “in bad faith and far outside the bounds of commercial responsibility.”

LBIE claims that under a proper calculation of the early...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.