Asset Management

  • October 11, 2019

    Bear Stearns, Reed Smith Settle $500M Malpractice Suit

    Two now-defunct Bear Stearns investment funds have agreed to end a malpractice suit in New York court accusing Reed Smith LLP of bungling its representation of the funds to the tune of half a billion dollars during a suit against ratings agencies.

  • October 11, 2019

    Look Beyond Crypto Labels, SEC, CFTC And FinCEN Warn

    A trio of federal financial regulators released a joint statement on Friday urging anyone dealing with digital currencies to ensure they are adhering to obligations under anti-money laundering and countering the financing of terrorism regulations, regardless of what those digital assets are called.

  • October 11, 2019

    Feds Call Ex-Deutsche Traders 'Emblematic' Of Banking Ills

    Federal prosecutors say two former Deutsche Bank traders’ deserve substantial prison time for Libor rigging as a crime “emblematic” of big banks’ bad behavior, while the traders argue that they had already suffered enough as two of the few to be prosecuted over the international scandal.

  • October 11, 2019

    Court Skeptical Of Columbia's Bid To End ERISA Suit

    A New York federal magistrate judge appeared unpersuaded by Columbia University’s attempts to bring an early end to a class action challenging its retirement plan’s fees and investments, saying during a hearing Friday that he sees factual disputes in the case that can’t be resolved without a trial.

  • October 11, 2019

    DC Circ. Presses SEC To Justify Exchange Fee Program

    The D.C. Circuit on Friday seemed skeptical that the U.S. Securities and Exchange Commission had identified an existing problem warranting a two-year pilot program that could cap the fees major exchanges receive.

  • October 11, 2019

    Real Estate Rumors: Peachtree Hotel, Ross, Longpoint

    Peachtree Hotel Group has reportedly landed nearly $23 million in financing for a Florida project, Ross Dress for Less is said to be leasing more than 34,000 square feet in downtown Miami and Longpoint Realty is said to have dropped $6.3 million on a Miami warehouse.

  • October 11, 2019

    Davis Polk, Skadden Steer Insurer's Potential $246M IPO

    Insurance broker BRP Group Inc. on Friday set a price range for an initial public offering estimated to raise $246 million, steered by Davis Polk & Wardwell LLP and underwriters counsel Skadden Arps Slate Meagher & Flom LLP.

  • October 11, 2019

    Abrams, Olshan Draw Guff For $22M Fee Bid On $47M Deal

    Abrams & Bayliss and Olshan Frome Wolosky faced pushback Thursday on a $22 million fee bid for brokering a potential $47 million deal on behalf of a putative class of investors challenging Medley Capital Corp.'s proposed tie-up with Sierra Income Corp., as the defendants cast doubt that the deal is worth that much.

  • October 11, 2019

    UK Litigation Roundup: Here's What You Missed In London

    The past week has seen asset manager BlueCrest drag a U.S. hedge fund into court following its expansion into the U.K., a City watchdog sue a Panamanian connected to an illegal land sale scheme and a Hong Kong food distributor file suit against shipping giant MSC. Here, Law360 looks at those and other new claims in the U.K.

  • October 11, 2019

    SEC's 'Test The Waters' Expansion Could Spur More Offerings

    The U.S. Securities and Exchange Commission’s decision to allow all companies to pursue “testing-the-waters” communications with institutional investors before registering their offerings is welcomed by corporate attorneys, who say the policy could spur more deal-making, though investor groups are skeptical that the public will benefit from the rule change.

  • October 10, 2019

    Atty-Duping Scammer Gets 22 Years In $396M Ponzi Scheme

    A Maryland man who pled guilty to scamming investors including lawyers, bankers, investment advisers and professional athletes in a $396 million scheme offering high returns on consumer debt was sentenced Thursday to 22 years in federal prison and to pay at least $190 million in restitution.

  • October 10, 2019

    Kessler Topaz, Prickett Jones Want In On Medley Fees

    An investor told the Delaware Chancery Court Thursday his counsel at Kessler Topaz and Prickett Jones are entitled to about $440,000 in legal costs for their help brokering an estimated $47 million deal on behalf of a putative investor class that challenged Medley Capital Corp.'s proposed complex merger with Sierra Income Corp., while also questioning the co-lead counsel's $22 million fee bid.

  • October 10, 2019

    Northrop Defends 401(k) As Trial Looms In ERISA Class Action

    Northrop Grumman Corp. is gearing up to stand trial next week on allegations that its 401(k) plan betrayed workers by using a costly management strategy for a risky investment fund, telling a California federal judge that the strategy made sense at the time.

  • October 10, 2019

    Ether Is Definitively A Commodity, CFTC Chair Says

    The chairman of the U.S. Commodity Futures Trading Commission said Thursday that the cryptocurrency Ether is definitively a commodity in line with Bitcoin, which has also been excluded from securities laws and falls under the purview of the Commodity Exchange Act.

  • October 10, 2019

    Former Intuit Exec Takes Over Top Role At LabCFTC

    Former Intuit executive Melissa Netram has been appointed director of the U.S. Commodity Futures Trading Commission's fintech initiative, or LabCFTC, the agency announced Thursday.

  • October 10, 2019

    PIMCO Atty Slams 'Fraternity Culture' In Discrimination Suit

    A Pacific Investment Management Co. in-house attorney says the firm's "fraternity culture" routinely discriminates against women — particularly women of color — while promoting and advancing the interests of white men, according to a suit filed in California state court.

  • October 10, 2019

    Real Estate Rumors: JVM, Global Holdings, Lennar

    JVM Realty has reportedly bought an Illinois apartment complex from Opus Group, Global Holdings Management Group is said to be paying nearly $400 million for a New York apartment tower, and homebuilder Lennar has reportedly paid a PIMCO-managed entity $6.1 million for 50 Florida lots.

  • October 10, 2019

    Sears Hometown Investors Say Lampert Engineered Bad Deal

    Sears Hometown and Outlet Stores investors have filed a proposed class action in Delaware Chancery Court accusing controlling shareholder and former Sears CEO Edward S. Lampert of a yearslong effort to strip value from the retailer to buy out its remaining shares at an unfairly low price.

  • October 10, 2019

    Keystone Property Group Scores $66M Loan For NJ Complex

    Keystone Property Group has landed $66 million in financing for a Morristown, New Jersey, office complex, according to an announcement from lender 3650 REIT on Thursday.

  • October 10, 2019

    1st Circ. Says F-Squared's $7.7M Fee Claim May Hinge On SEC

    The relative "possibility" of a U.S. Securities and Exchange Commission enforcement action after an investigation begins may determine whether the bankruptcy trustee for F-Squared Investments Inc. can recoup $7.7 million in legal fees spent during the investigation, the First Circuit said Thursday.

  • October 10, 2019

    1st Circ. Doubts Ex-State Street Exec's Bid To Ax Conviction

    The First Circuit on Thursday tackled for the first time the issue of whether the wire fraud law applies overseas as it voiced some skepticism over a former State Street Corp. executive’s argument that his crimes did not have enough of a tie to the United States to allow his conviction to stand.

  • October 09, 2019

    Strine Calls For Sweeping Corporate Overhaul As Term Wanes

    With only a few weeks left in an eventful two decades on the nationally important Delaware bench, retiring Chief Justice Leo E. Strine Jr. has called for a sweeping overhaul of American corporate governance, aimed at countering what he sees as failures to expand long-term investment, sustainable business practices and fair sharing of gains with workers.

  • October 09, 2019

    Conn. Fits Teva Stock-Drop Suit Better Than Pa., Judge Says

    A proposed investor class action against Teva Pharmaceuticals will be moved from Pennsylvania to Connecticut, where it will join other investor suits over the drugmaker's alleged price-fixing after a Philadelphia federal judge said the suit was not sufficiently tied to antitrust multidistrict litigation in his district.

  • October 09, 2019

    SEC Nixes Bitwise ETF Bid Citing Bitcoin Market Manipulation

    The U.S. Securities and Exchange Commission denied Bitwise Asset Management's bid to launch a bitcoin exchange-traded fund in a Wednesday order, stating that it was not convinced the "real bitcoin market" can be resistant to manipulation or fraud.

  • October 09, 2019

    Arizona CBD Biz Nabs $50M In Funding From NY Hedge Fund

    Integrated CBD, a Scottsdale, Arizona-based supplier of cannabidiol products, said Wednesday that it has received $50 million via a mixture of equity and debt investment from an undisclosed New York-based hedge fund.

Expert Analysis

  • How Emotionally Intelligent AI Could Assist With E-Discovery

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    While artificial intelligence has already revolutionized the e-discovery field, the development of emotionally intelligent AI promises to explore data in an even more nuanced and human way, thereby further reducing the burden on legal teams, say Lisa Prowse and Brian Schrader at e-discovery services provider BIA.

  • Rebuttal

    Data Pinpoints Expert Valuation Differences In Del. Appraisals

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    A recent Law360 guest article called on experts in appraisal proceedings to present valuations closer to deal price, but an examination of 20 cases involving disinterested transactions of public targets indicates this call to action is more apt for petitioner valuations than those of respondents, says Michael Cliff at Analysis Group.

  • Preventable Risks Your Law Firm May Be Overlooking

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    Although most lawyers are well-prepared to defend or justify the value of an insurance claim for clients, often law firms have not clearly identified their own potential liabilities, planned for adequate insurance or established prudent internal risk management practices, says Victor Sordillo at Sompo International.

  • Data Privacy Compliance Best Practices For Asset Managers

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    An asset manager can more nimbly engage with the nuances of new data privacy legislation by following a best practices model, developed through universal protocols, that can more readily be adapted to comply with a variety of laws, say attorneys at Ropes & Gray.

  • 6 Ethics Tips For Attorneys Making Lateral Transfers

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    With lateral transfers between law firms on the rise, it is more important than ever for partners to understand the steps they must take to adhere to ethics rules and other requirements when making a transition, say attorneys at Harris Wiltshire.

  • Rebuttal

    Mutual Funds Should Consider Shareholder Litigation

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    A recent Law360 guest article attempts to dissuade mutual funds from engaging in shareholder litigation, but it ignores the practical realities of how, under the right circumstances, it often makes sense for mutual funds to participate, say attorneys at Labaton Sucharow.

  • The Ins And Outs Of SEC's Expanded 'Test The Waters' Rule

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    The U.S. Securities and Exchange Commission’s recent expansion of permissible prefiling communications between issuers and certain potential investors may allow issuers to be in a better position to gauge interest in the market in a cost-effective manner, say attorneys at Debevoise.

  • 5 Steps Toward Broker Conduct Rule Compliance

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    As the June 30 deadline to comply with the U.S. Securities and Exchange Commission's Regulation Best Interest approaches, broker-dealers must start translating their implementation strategies into concrete actions, say attorneys at Eversheds Sutherland.

  • Consider The Power Of Tactical Empathy

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    By employing tactical empathy techniques to understand the interests behind the positions taken by others, attorneys can gain the upper hand in deal negotiations and litigation while still promoting and preserving long-term relationships with opponents, judges and others, say Shermin Kruse of TEDxYouth@Wrigleyville and Ursula Taylor of Strategic Health.

  • The Problem — And Opportunity — Of Implicit Bias In The Bar

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    Law firms are beginning to recognize implicit bias as a problem. But too few recognize that it is also an opportunity to broaden our thinking and become better legal problem solvers, says Daniel Karon of Karon LLC.

  • Series

    Judging A Book: Thapar Reviews Gorsuch's 'A Republic'

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    U.S. Supreme Court Justice Neil Gorsuch's new book "A Republic, If You Can Keep It" offers hope for our constitutional system through stories of American greatness, and sheds much-needed light on originalism for skeptics, says Sixth Circuit Judge Amul Thapar.

  • Opinion

    Proxy Advisers Should Be Designated ERISA Fiduciaries

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    With Eugene Scalia confirmed as the U.S. secretary of labor, his department should prioritize designating proxy advisers — the primary provider of shareholder voting recommendations — as investment advice fiduciaries to protect Employee Retirement Income Security Act plan beneficiaries, says Bernard Sharfman of the Main Street Investors Coalition advisory council.

  • Mutual Fund Ruling May Make Fee Challenges More Difficult

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    In Kennis v. MetWest, a California federal court recently ruled in favor of a mutual fund adviser accused of charging excessive fees. The decision's exploration of portfolio managers' services and the competitive marketplace potentially makes the already difficult environment for plaintiffs even tougher, say Keith Dutill and Joseph Kelleher at Stradley Ronon.

  • Opinion

    True Wellness Requires A Deeper Look At Atty Profession

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    While I applaud all of the law firms that have signed the American Bar Association's campaign to improve attorney well-being, to achieve a truly holistic solution we must ask difficult questions about what we do, how we do it and the expectations we have set for ourselves and our clients, says Edward Shapiro at Much Shelist.

  • Using Irish Treaty Funds To Avoid US Taxes In Direct Lending

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    Given the emergence of direct lending as a popular asset class for institutional investors, an Irish treaty fund could be a powerful tool for U.S. managers with access to foreign capital, whose deployment might otherwise be waylaid by U.S. tax concerns, say Jason Schwartz and Gregg Jubin of Cadwalader.