Panel's 'Disregard' Of Law Leads To $37M Award Nix In NY

Law360 (March 25, 2019, 9:29 PM EDT) -- A New York judge has vacated a $37 million arbitral award relating to the distribution of a bankrupt company's assets — an award to secured creditors that had been reduced by more than $2.1 million — concluding the arbitrators had acted in “manifest disregard” of the law.

Magistrate Judge Kevin Nathaniel Fox found in his opinion on Friday that the tribunal, which had been chaired by retired U.S. District Judge Shira Scheindlin, had overstepped its authority by redetermining how to calculate interest when accounting for certain prepayments made by Delaware asset management firm Black Diamond Capital Management LLC and related entities...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.


  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!

TRY LAW360 FREE FOR SEVEN DAYS

Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Beta
Ask a question!