Lurie Friedman LLP



| Financial Services Litigation | Representative Cases


  • Breach of Fiduciary Duty by Trustee Bank/Investment Manager»
    We represented two Dutch pension funds in federal lawsuits against a major financial provider of investment and trust services. Our clients lost hundreds of millions of dollars when the provider failed to disclose material risks of collective investment funds that were rendered worthless upon the failure of Lehman Brothers.  After depositions and exchange of expert reports, the cases settled on favorable terms.

  • "Top Hat" Plan»
    We represented a public company, its key executives and its deferred compensation plan in federal lawsuits in Philadelphia, San Francisco, and New Orleans regarding the “top hat” status of the plan and the participants’ rights to account balances under ERISA. After several rulings in favor of our clients, the claims of sixteen plan participants settled on favorable terms.

  • Imprudent Investment Advice by ERISA Fiduciaries»
    We represented the largest plumbing distributor in New England in an ERISA action in federal court against fiduciaries for its retirement plan. The defendants were investment advisors who failed to inform the plan that the strategy of one of its investment funds had changed and the fund was heavily invested in subprime mortgage-related securities.  The case was transferred to the Southern District of New York as part of a consolidated multidistrict litigation involving subprime mortgage-related fixed income funds.  After discovery, summary judgment briefing, and mediation, the case settled on favorable terms.

  • Removal of New Hampshire Bank Commissioner»
    We represented the Governor of New Hampshire and the New Hampshire Executive Council in an administrative proceeding to remove from office the appointed New Hampshire Bank Commissioner. The removal petition alleged inefficiency, neglect of duty and misfeasance by the Bank Commissioner in connection with the New Hampshire Banking Department’s failure to exercise its regulatory authority and to detect an extensive fraud and Ponzi scheme by a mortgage company regulated by the New Hampshire Banking Department.  After several days of testimony, the Bank Commissioner agreed to the removal.

  • Subpoena in Madoff Investigation»
    We represented a registered securities broker with respect to two subpoenas issued by the Massachusetts Securities Division to appear in connection with its investigation and prosecution of a broker-dealer firm for alleged improprieties relating to investments with Bernard Madoff. Our client declined to appear in response to subpoenas based on lack of jurisdiction and due process grounds. The Securities Division did not seek to enforce the subpoenas.

  • Massachusetts Securities Division Action Re: Auction Rate Securities»
    We represented as co-counsel a major broker-dealer in defending an administrative proceeding by Massachusetts securities regulators for alleged fraud and misrepresentations in connection with the sale of auction-rate securities. After extensive motion practice, the case was resolved by a favorable consent decree on the eve of trial.

  • Claims against Excess Loss Insurer and Administrative Services Provider for Health Benefits and Excess Loss Insurer»
    We represented a municipal joint purchase group comprised of fifty-two governmental units in a lawsuit against a health care administrative services provider for failure to pay timely a multimillion dollar claim before the run-out period under the excess loss insurance policy expired. After discovery and mediation, we obtained a favorable settlement and a substantial contribution from the excess loss insurer.

  • Fraud/Embezzlement by Entertainer’s Business Manager»
    We represent a comedian/actor and his business entity in civil efforts to locate, preserve and recover more than $10 million of assets stolen by his half-brother while he was supposedly managing our client’s assets. The matter involved filing actions and pursuing assets in two states and working closely with the Massachusetts Attorney General’s Office.

  • Claim by Building Tenant against National Bank/FDIC»
    We represented a national bank that made a construction loan for development of a mixed-use building in Boston in a lawsuit by a building tenant. The lawsuit sought specific performance by the building owner/borrower and our client regarding an alleged purchase and sale agreement for a commercial condominium in the building. Following a loan default by the owner/borrower, our client foreclosed, transferred title to a single purpose entity, and was taken over by the FDIC, which became our client. After removing the case to federal court, we prevailed on a motion to dismiss all claims against our client.

  • Unauthorized Bond Sale by Custodian Bank»
    We represented a registered mutual fund in a claim against its custodian bank for selling bonds from the portfolio without authorization. After an exchange of letters and a meeting of the parties with counsel, the matter settled favorably.

  • Negligent Disbursement of Bond Proceeds and Subordination of Security Interests»
    We represented the successor trustee and major bondholders of $10,000,000 industrial revenue bonds in a federal diversity action in Tennessee against the former trustee bank for misallocation of bond proceeds on a hotel construction project and the improper subordination of the bondholders’ first priority security interest. After discovery in multiple states, including depositions of the defendant’s accounting expert, we obtained a settlement on the eve of trial.

  • Investment Losses»
    We represented an international investment bank in a multi-million dollar lawsuit by an investor for fraud, negligence and breach of fiduciary duty. The case was dismissed for lack of personal jurisdiction and an interlocutory appeal was successfully defended.




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