19 results for 'cat:"Securities" AND cat:"Fiduciary Duty"'.
J. Walker finds that the district court improperly upheld an enforcement action against a senior partner at a private equity firm accused of breaching fiduciary duties to funds he advised because he could not have reasonably foreseen that his expense reports for phony business expenditures would be paid by the funds and not by his then-employer. Reversed.
Court: 2nd Circuit, Judge: Walker, Filed On: March 13, 2024, Case #: 20-4080-cv, Categories: securities, fiduciary Duty
J. Robinson preserves certain claims for breach of fiduciary duty, constructive fraud, negligence and violations of the North Carolina Securities Act in this lawsuit between 16 aging investors and related financial groups that allegedly recommended bad investments to the investors. Some of those allegations are well made, while others fail to warrant relief.
Court: North Carolina Business Court, Judge: Robinson, Filed On: February 26, 2024, Case #: 2024-NCBC-10, Categories: Fraud, securities, fiduciary Duty
J. Tostrud partially grants the employees' motion for judicial notice of a number of documents in their proposed class action alleging breaches of fiduciary duty and prohibited transactions in relation to their employer's 401(k) plan, and denies the employer and fiduciaries' motion to dismiss the suit. The employees' claims that the fiduciaries' use of particular preferred stock dividends rather than common stock to satisfy the employer's matching-contribution requirements were prohibited under ERISA are sufficient to plausibly allege claims under ERISA and for breach of fiduciary duty, and they have established that they have suffered an economic injury traceable to the allegedly unlawful conduct for standing purposes. As to the documents, the Plan is embraced by the pleadings and the remaining exhibits would not change the court's analysis.
Court: USDC Minnesota, Judge: Tostrud, Filed On: February 21, 2024, Case #: 0:22cv2354, NOS: Employee Retirement Income Security Act (ERISA) - Labor, Categories: Erisa, securities, fiduciary Duty
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J. Trauger denies the plaintiff nonprofit corporation's motion for a preliminary injunction and partially grants the fund defendants' dismissal motion in this lawsuit asserting claims under the federal Exchange Act, as well as the Tennessee Securities Act and the Tennessee Blue Sky Law. The complaint alleges that the defendants misrepresented that a certain fund was a success and that they failed to disclose that it "had been losing hundreds of thousands of dollars in 2021." However, the corporation fails to show irreparable harm, for purposes of the requested injunction, as it only entrusted money to the defendants. Accordingly, its alleged injury could be remedied "with economic damages at the conclusion of litigation."
Court: USDC Middle District of Tennessee , Judge: Trauger, Filed On: February 20, 2024, Case #: 3:23cv685, NOS: Securities/Commodities/Exchange - Other Suits, Categories: Fraud, securities, fiduciary Duty
J. Hicks grants the Securities and Exchange Commission's motion for partial summary judgment in its case against a bestselling author and wealth coach that sold oil and gas securities as an unregistered broker. No question of material fact exists that she acted as an investment adviser who failed to disclose conflicts of interest such as her entitlement to compensation for the sales. Claimed exclusions do not exempt the coach and her associates from their fiduciary duties.
Court: USDC Nevada, Judge: Hicks, Filed On: February 16, 2024, Case #: 3:22cv269, NOS: Securities/Commodities/Exchange - Other Suits, Categories: Fraud, securities, fiduciary Duty
J. Kennedy finds that the lower court properly granted summary judgment to the appellees on their fiduciary duty and securities claims against the appellant. Their petition alleged that certain material facts were misrepresented in connection with their investments. The lower court did not err "by refusing to withdraw the deemed admissions," as the appellant argues. Also, the evidence shows that the appellant was a "seller" under the Texas Securities Act. Affirmed.
Court: Texas Courts of Appeals, Judge: Kennedy, Filed On: February 7, 2024, Case #: 05-23-00238-CV, Categories: securities, fiduciary Duty
J. Livingston finds that the district court properly remanded class fiduciary duty and tortious interference claims shareholders brought against a company and its merger partner. An exception to the Class Action Fairness Act applied since the merger involved securities that allegedly shortchanged shareholders from owning preferred stock.
Court: 2nd Circuit, Judge: Livingston, Filed On: November 14, 2023, Case #: 23-1262, Categories: securities, fiduciary Duty, Class Action
J. Wright, in this accelerated interlocutory appeal, finds the trial court improperly denied the law firm’s motion to dismiss this suit alleging legal malpractice and breach of fiduciary duty filed by a minority shareholder in a company against the law firm hired to represent the company against the shareholder. Claims made by the shareholder on behalf of the company arise out of and relate to the firm’s legal representation of the majority shareholder and company, and fall within the scope of the arbitration clause of an agreement entered into by the law firm and majority shareholder and company. Reversed and remanded.
Court: Texas Courts of Appeals, Judge: Wright, Filed On: November 9, 2023, Case #: 09-21-00342-CV, Categories: securities, fiduciary Duty, Legal Malpractice
J. D'Auria finds the lower court properly refused to vacate a $57 million arbitration award in favor of an employer. The employee's decision to flee the U.S. and return to his native India after criminal charges were filed allowed for application of the fugitive disentitlement doctrine, especially considering the employee's own actions once he fled to India resulted in his inability to fully participate in the arbitration hearing. Affirmed.
Court: Connecticut Supreme Court, Judge: D'Auria, Filed On: October 16, 2023, Case #: SC20677, Categories: Arbitration, securities, fiduciary Duty
J. Trauger grants the Dollar General defendants' motion to dismiss this stockholder derivative complaint asserting claims for breach of fiduciary duty and unjust enrichment against certain individual directors and executives, in connection with allegations of employee safety failures. The stockholder plaintiff should have given the board of directors an "opportunity to evaluate this proposed lawsuit" prior to bringing suit. Accordingly, he is not entitled to bring the derivative suit under Tennessee law.
Court: USDC Middle District of Tennessee , Judge: Trauger, Filed On: October 12, 2023, Case #: 3:23cv59, NOS: Stockholders’ Suits - Contract, Categories: securities, fiduciary Duty
J. Merriam finds that the district court properly dismissed fiduciary duty claims a noteholder brought against advisers to a collateralized loan obligation in tinkering with investments to maximize fees and boost expenses. Contract rescission could not be granted under the investment advisers act because the agreement did not require unlawful conduct. Affirmed.
Court: 2nd Circuit, Judge: Merriam, Filed On: September 7, 2023, Case #: 22-1912, Categories: securities, fiduciary Duty
J. Gordon dismisses a counterclaim brought by the borrower who defaulted in this suit brought by the lenders on allegations of fraudulent transfer of stock. A breach of fiduciary duty claim alleges the stock transfer resulted in unjust enrichment to the company owners while they failed to pay the debt. The owners say the lenders intentionally assisted the breach of a duty through their interaction with other parties, and the "shifting" allegations do not give the lenders fair notice of who is asserting the claim, in what capacity, and on what factual basis.
Court: USDC Nevada, Judge: Gordon, Filed On: July 25, 2023, Case #: 2:22cv1206, NOS: Other Fraud - Torts - Personal Property, Categories: Fraud, securities, fiduciary Duty
J. Peterson denies the brother, corporate officer and company's motion to dismiss the sister's lawsuit claiming she was deceived and pressured into selling her 20% ownership interest in the family business for $1.3 million before the brother sold the company one year later for $162 million, effectively defrauding her of around $32 million she would have received from the sale if she had not unloaded her shares at a falsely deflated value. The sister has pleaded her claims, including those for federal-law securities fraud and state-law fraud, breach of fiduciary duty and civil theft, with sufficient clarity and specificity, so all 15 claims survive.
Court: USDC Western District of Wisconsin, Judge: Peterson, Filed On: July 24, 2023, Case #: 3:22cv400, NOS: Securities/Commodities/Exchange - Other Suits, Categories: Fraud, securities, fiduciary Duty
J. Garcia finds that the appellate division properly held that compliance with the no-action clause in a securitization agreement for residential mortgage-backed securities was unnecessary. Commercial banks, as investors, could not be expected to ask trustees, as overseers, to bring suit under the clause when their actions had been targeted for causing the losses. However, tort claims based on fiduciary breaches should be dismissed as duplicative of breach of contract claims. Affirmed in part.
Court: New York Court Of Appeals, Judge: Garcia, Filed On: June 15, 2023, Case #: 51, Categories: securities, fiduciary Duty, Contract