Fidelity Blasted At Trial For 'Blindly Dumping' Donated Shares

Law360, San Francisco (October 19, 2020, 10:47 PM EDT) -- Fidelity Investments' charitable giving arm made false promises to philanthropists to secure their donation of stock and then exhibited "gross incompetence" by "blindly dumping" the shares, a California federal magistrate judge heard Monday during opening arguments in a closely watched bench trial over who controls gifts made to donor-advised funds.

California couple Emily and Malcolm Fairbairn say Fidelity Investments Charitable Gift Fund made false representations and negligently liquidated their $100 million donation for organizations combating Lyme disease when it used trading methods that drove down the price of their donated stock, leaving millions less to donate to charities and reducing the size...

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!