Corporate Law

How Attorneys Can Avoid Big Claims Over Bankrupt Clients

When struggling companies go under in a big way, bankruptcy trustees today are increasingly looking to their accountants and lawyers to ante up at least some of the missing money So professionals should keep a wary eye out for red flags that should warn them, early in the representation, that…

Apr 23, 2008 6:46 PM CDT

FBI Expects Massive Rise in Mortgage Fraud Cases

The FBI is dealing with a deluge of new mortgage fraud cases in a real estate meltdown of unprecedented scope. At a Senate hearing earlier this week, Robert Mueller, the agency’s director, noted that the FBI now has more than 1,300 mortgage fraud investigations underway, reports the Associated Press. A…

Apr 18, 2008 7:04 PM CDT

Most GCs Happy With Job, Many Looking to Hire In-House Counsel

Despite headaches created by increased corporate compliance requirements and tension with outside auditors, the vast majority of lawyers at the helm of corporate legal departments are happy with their jobs. Some 85 percent of the nation’s chief legal officers and general counsels say their careers are rewarding, according to an…

Apr 17, 2008 8:24 PM CDT

Kirkland & Ellis Snags 3 Partners from Mayer Brown

One Chicago-based BigLaw firm reportedly has just raided another of three partners. Bruce Gelman, Thomas Geraghty and Joshua Hanna have left Mayer Brown are now practicing at Kirkland & Ellis, reports Legal Week. Gelman and Geraghty are tax lawyers, and Hanna specializes in real estate and private equity matters.

Apr 15, 2008 8:32 PM CDT

Suit Claims Boss Waterboarded Worker as Motivational Tack

A suit by a sales employee claims his boss subjected him to waterboarding as part of a “team-building exercise.” Chad Hudgens, part of a 10-person telephone sales team, said he had volunteered for the exercise, devised by his supervisor during a slow sales week, but had no idea what he…

Apr 14, 2008 3:54 PM CDT

As U.S. Deals Dry Up, Law Firms Go Abroad; $150K Moving Bonuses

Although the number of corporate deals has plummeted in the U.S., starting midway through last year, overseas mergers and acquisitions are a booming business. So American law firms are going where the work is, revving up their foreign offices at the same time that some are downsizing at home, reports…

Apr 11, 2008 4:05 PM CDT

More Securities Cases, Higher Damages Predicted By Accounting Firm Experts

More securities class actions, as well as increased efforts to obtain redress abroad, were predicted today by experts from the PricewaterhouseCoopers accounting firm. They also said that the growing presence of unions and pension funds as plaintiffs in such cases is apparently driving up damages awards. Speaking today at a…

Apr 10, 2008 8:13 PM CDT

Trustee Targets Investment Banks; Will His Suit Spark Others?

In a case that may be something of a signpost pointing to further litigation related to the subprime mortgage crisis, a bankruptcy trustee has filed suit against major investment banks claiming that their lax practices shored up a third-party lender, Philadelphia-based American Business Financial Services Inc., and thus cost ABFS…

Apr 9, 2008 5:29 PM CDT

Securities Class Actions Up Thanks to Subprime Mess

After a two-year decrease in filings, federal securities class actions were up in 2007 thanks in large part to subprime-related lawsuits and those against foreign securities issuers. There were 37 subprime cases filed last year, for a total of 23 percent of new securities cases filed. According to the PricewaterhouseCoopers…

Apr 9, 2008 2:05 PM CDT

Does Deferring Prosecution Foster Risky Corporate Behavior?

The Justice Department has put off prosecuting more than 50 companies suspected of wrongdoing over the last three years, sparing those companies the cost and stigma of going to trial. This is a major policy shift and spotlights a favorite tool of the Bush administration, deferred prosecutions, the New York…

Apr 9, 2008 10:36 AM CDT

Despite Slowdown, Dealmakers of Year Still in Business

Despite a significant work slowdown that began almost exactly halfway through 2007, the nation’s best dealmakers found a way to continue doing business last year when others might have been stymied. Among them: Paul Bird of Debevoise & Plimpton closed a HD Supply buyout in late August without funding, as…

Apr 8, 2008 6:17 PM CDT

New Cash Register Receipts Law Rings Up Class Action Bonanza

A new federal law that requires merchants to remove from cash register receipts private information such as more than five digits of a credit card number apparently may have caught some major companies napping. Some 300 class actions have been filed during the 16 months since since the Fair and…

Apr 7, 2008 10:07 PM CDT

Court Hears Appeal Today by Ex-Enron CEO

Lawyers for former Enron CEO Jeffrey Skilling are asking a federal appeals court to overturn his conviction in oral arguments today. Experts told the Associated Press that Skilling has a good chance of winning his attack on the prosecution theory that he deprived the company of honest services. The New…

Apr 2, 2008 5:02 PM CDT

Colorado Ballot Measure Targets Execs Who Fail to Stop Corporate Fraud

A former employee at Qwest Communications is backing a ballot measure in Colorado that would create the nation’s toughest corporate fraud law. Lew Ellingson, who had a job splicing phone cables, told the New York Times he became angry when Qwest colleagues lost their life savings after insider trading allegations…

Apr 1, 2008 3:32 PM CDT

Failed Corporate Deals Fuel Malpractice Suits Against Firms

Failed corporate deals are fueling malpractice and other deal-related claims that large law firms are finding increasingly difficult to fend off. The National Law Journal reports that during the past few years, law firms including Mayer Brown, Clifford Chance and Akin Gump Strauss Hauer & Feld have faced some of…

Mar 31, 2008 9:04 PM CDT