Asset Management

  • February 23, 2018

    Reg A+ 'Mini-IPOs' Face Market Resistance

    Nearly all publicly traded companies that have raised money though so-called Reg A+ initial public offerings — a scaled-down version of a traditional IPO intended to ease burdens on smaller companies — have seen their shares plunge since going public, raising questions about the program's viability.

  • February 23, 2018

    High Court Fight Over SEC In-House Judges Heats Up

    A high-profile challenge to the U.S. Securities and Exchange Commission’s in-house court intensified in recent days as government lawyers urged the U.S. Supreme Court to give the agency's chair the power to remove administrative law judges, while a money manager whose case is now before the justices has asked them to come down hard against the regulator over what he calls its use of an unconstitutional tribunal.

  • February 23, 2018

    NY Atty, Judge Accused Of Stealing Over $4M From Trusts

    A judge in upstate New York and an attorney have been arrested for allegedly stealing more than $4 million from the family trusts they were responsible for overseeing, the New York state attorney general announced Friday.

  • February 23, 2018

    Illinois Software Exec Pleads Not Guilty In Spoofing Case

    The owner of an Illinois software firm pled not guilty Thursday to conspiracy and spoofing charges stemming from accusations he led efforts to carry out a futures trader’s plan to implement software allowing the trader to create false orders and manipulate the precious metals market.

  • February 23, 2018

    Looming Cap On Borrowing Could Alter Financing Strategies

    In four years, the new tax law is scheduled to tighten restrictions on businesses claiming deductions for interest paid on borrowed funds, but highly leveraged companies already are evaluating how this imminent change will affect their cash flows and financing options.

  • February 23, 2018

    9th Circ. Flips ERISA Ruling To Favor Transamerica

    A Ninth Circuit panel ruled Friday that Transamerica was not a fiduciary to a class of investors when the company negotiated terms with their employers to manage their retirement plans, effectively dismissing claims that Transamerica violated ERISA by charging certain fees and revenue sharing with fund managers.

  • February 23, 2018

    Rakoff Questions $285M Atty Fees In $3B Petrobras Deal

    U.S. District Judge Jed Rakoff on Friday pressed lawyers for a class of investors in Petrobras securities who inked a $3 billion fraud settlement with the oil giant and its auditor to justify their request for $285 million in attorneys’ fees, calling on Petrobras to join him in scrutinizing the plaintiffs’ billing records.

  • February 23, 2018

    2nd Circ. Gives 2nd Shot To Schwab's Libor Claims

    A Second Circuit panel on Friday breathed new life into claims brought by Charles Schwab Corp. against a slew of the world’s largest banks over their alleged manipulation of the London Interbank Offered Rate, finding that the investment firm should be given a chance to replead some of its case.

  • February 23, 2018

    SWS Investors Lose Bid For Higher Stock Price Post-Sale

    Investors who sued to get 39 percent more for their stock after the 2015 sale of financial services firm SWS Group Inc. yet wound up getting 7.8 percent less after a Chancery Court appraisal got no help from Delaware’s Supreme Court Friday, which let stand the trimmed price of $6.38 per share.

  • February 23, 2018

    Shkreli Can't Beat Stock Fraud Rap Post-Trial

    A New York federal judge on Friday refused a request by former pharmaceutical executive Martin Shkreli to throw out his conviction for manipulating the stock of Retrophin Inc. while he was its CEO, saying there was sufficient evidence for the jury to find him guilty.

  • February 23, 2018

    UK Health Care REIT Scores £94M From Share Sale

    U.K.-based real estate investment trust Target Healthcare REIT Ltd. on Friday said a recent stock offering raked in £94 million ($131.3 million) to be used to finance a number of current investments, as well as pending and potential projects.

  • February 23, 2018

    Tilton, Patriarch Hit With $10M Suit In TransCare Case

    The trustee for bankrupt ambulance company TransCare Corp. hit Lynn Tilton and her private equity firm Patriarch Partners with a $10 million clawback suit in New York bankruptcy court Thursday, alleging the onetime owners of TransCare blew up the company through mismanagement and an “outrageous” scheme.

  • February 23, 2018

    Ex-SEC Chair Urges Delay Of Post-IPO Suit Policy Debate

    Former SEC Chairman Harvey Pitt on Friday urged current Chairman Jay Clayton to put on “the back burners” the idea of allowing companies to bar investors from filing lawsuits after an initial public offering, saying debating the subject would divert the agency’s “limited resources.”

  • February 23, 2018

    Latham & Watkins Advises Hyatt On $1B Sale Of 3 Hotels

    Latham & Watkins LLP has guided Hyatt Hotels Corp. in the $1 billion sale of three hotels to real estate investment trust Host Hotels & Resorts Inc., the law firm said on Friday.

  • February 22, 2018

    Man Posed As Well Owner For Millions In Loans, DOJ Says

    A Hawaii man was arrested Wednesday for allegedly posing as the owner of Wyoming oil and gas wells for a decade to obtain multimillion-dollar loans, using the money to pay back old fraudulent loans or spend on private jets and lavish artwork, according to a complaint filed in New York federal court.

  • February 22, 2018

    Ex-Tech Co. CEO Admits Insider Trading In Co.'s Securities

    The former head of a Silicon Valley-based fiber optics company that Corning Inc. bought for more than $300 million in April 2016 has pled guilty to insider trading and tender offer fraud, the U.S. Department of Justice announced Wednesday.

  • February 22, 2018

    Citing Aruba Appraisal Appeal, Attorney Seeks Dell Reset

    The lead counsel in three Delaware post-merger stock price challenges that failed to win higher prices urged a vice chancellor Thursday to stay two earlier, remanded cases pending appeal of the latest, or to reopen the appraisal case record for Dell’s $25 billion go-private deal in 2013.

  • February 22, 2018

    Resort-Focused Aspen REIT Pulls Reg A+ IPO

    Aspen REIT Inc., a real estate investment trust that was formed to own a Colorado mountainside resort and sought to become the first single-asset REIT to list on major stock exchange, late on Wednesday postponed an offering to raise about $34 million through a Regulation A+ “mini-IPO."

  • February 22, 2018

    SEC Case Exposes Justices' Rift Over 'Legislative History'

    The Supreme Court’s long-running tensions over the use of legislative history as a way to interpret law broke out into public view Wednesday in a case over the Dodd-Frank Act’s whistleblower provisions, as Justices Sonia Sotomayor and Clarence Thomas clashed over the value of a Senate report.

  • February 22, 2018

    Deals Rumor Mill: Phoenix, Telecom Italia, United Tech

    Phoenix Group is reportedly nearing a deal for Standard Life's insurance unit, F2i and Rai Way increased their bid for Telecom Italia's broadcasting business, and United Technologies' CEO said the company will decide by the end of the year whether to split up.

Expert Analysis

  • Examining SEC’s 2018 Exam Priorities

    James Lundy

    The U.S. Securities and Exchange Commission’s Office of Compliance Inspections and Examinations deserves credit for the increased transparency and guidance provided in its 2018 priorities letter. That said, the OCIE is clearly prioritizing the protection of retail investors even more than in years past, say attorneys with Drinker Biddle & Reath LLP.

  • 2nd Circ. Raises Bar For US Jurisdiction Over Foreign Banks

    Robert Reznick

    The Second Circuit's recent decision affirming the dismissal of UBS from a Madoff case is useful for foreign banks facing U.S. litigation. The decision is a reminder that, for purposes of general personal jurisdiction, corporate structure matters, say attorneys with Orrick Herrington & Sutcliffe LLP.

  • In Somers, High Court Takes Us Back To 2014

    Scott Oswald

    Justice Ruth Bader Ginsburg’s opinion in Digital Realty Trust v. Somers, which put a tight limit on anti-retaliation protections under the Dodd-Frank Act, emerged on Wednesday as the obverse of her 2014 opinion in Lawson. The real-world impact of Somers is likely to be immediate and somewhat perverse, says Scott Oswald of The Employment Law Group PC.

  • Observations On Delaware Appraisal In A Post-Dell World

    John Hughes

    It is too early to assess the full reach that Dell will have on appraisal in Delaware. But the Delaware Chancery Court's ruling last week in Verition Partners v. Aruba Networks provides a first look, say John Hughes and Jack Jacobs of Sidley Austin LLP.

  • How Emerging Sources Of ESI Will Impact Discovery

    Charles McGee

    Late last year, the Sedona Conference released the third edition of its principles addressing electronic document production, updated to account for innovations like Snapchat and Twitter. It may be necessary for these principles to be updated more often in order to keep pace with technology, says Charles McGee III of Murphy & McGonigle LLP.

  • Put The Brakes On Acceleration Bay Litigation Funder Ruling

    David Gallagher

    Last week, the District of Delaware raised eyebrows by ruling that documents provided to a litigation funder and its counsel in connection with their due diligence are categorically not attorney work product. Acceleration Bay v. Activision Blizzard seems to be a case of bad facts making bad law, says David Gallagher, investment manager and legal counsel for Bentham IMF.

  • Recent Trends In Structuring Risk Retention Vehicles

    Jason Schwartz

    In the wake of the financial crisis, the U.S. and Europe enacted “risk retention” rules that require sponsors of securitization vehicles to maintain a financial interest in those vehicles. Here, attorneys with Cadwalader Wickersham & Taft LLP look at the “capitalized management vehicle” structure that many collateral managers are using to comply with the rules, and the likely impact of a recent D.C. Circuit ruling.

  • The Impact Of Kokesh So Far, And What's Next: Part 2

    Carmen Lawrence

    Kokesh changed the paradigm for remedies in U.S. Securities and Exchange Commission enforcement actions, but the potential ramifications go well beyond what initially meets the eye. As we are starting to see, Kokesh's full impact will not be limited to disgorgement or the SEC, say attorneys with King & Spalding LLP.

  • Considerations For Attorneys Using Artificial Intelligence

    Ben Allgrove

    Artificial intelligence tools can empower attorneys to work more efficiently, deepen and broaden their areas of expertise, and provide increased value to clients, which in turn can improve legal transparency, dispute resolution and access to justice. But there are some common pitfalls already apparent in the legal industry, say Ben Allgrove and Yoon Chae of Baker McKenzie.

  • How A Recent Tax Case Offers Guidance To Family Offices

    Mark Leeds

    In a recent case, Lender Management LLC v. Commissioner, the U.S. Tax Court ruled against the Internal Revenue Service after it asserted that the costs of running a family office were not deductible for federal income tax purposes. The decision provides a road map for other family offices on how to structure their operations, says Mark Leeds of Mayer Brown LLP.