Greenberg Traurig Ducks ReoStar Energy Conspiracy Claims

Law360, New York (April 13, 2012, 6:56 PM EDT) -- A Texas federal judge on Wednesday booted bankrupt ReoStar Energy Corp.'s claims accusing international law firm Greenberg Traurig LLP and its managing shareholder of participating in a conspiracy that cost the company $2 million, saying the energy company could not support its allegations.

The judge dismissed claims against those parties from a suit naming several defendants in connection with an alleged scheme in which investors were allowed to buy the company's $10.8 million line of credit at a reduced rate.

The Fort Worth, Texas-based oil and gas company had amended its complaint several times since June, each time trying to convince...

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