So rare and so useful when it happens: “The federal judge overseeing the Enron shareholders’ class-action lawsuit dismissed a $1 billion claim brought by plaintiffs’ lawyer William Lerach against investment firm Alliance Capital Management. And in an unusual move, Judge Melinda Harmon in Houston ordered that the plaintiffs pay Alliance’s attorney’s fees under Section 11(e) of the Securities Act.” Lerach had sued Alliance because one of its executives, Frank Savage, sat on Enron’s board, but Judge Harmon dismissed the suit, “ruling that the plaintiffs showed no evidence of wrongdoing on either Alliance’s or Savage’s part.” (WSJ Law Blog, Dec. 4; Peter Lattman, “Lerach’s Enron Lawsuit Against AllianceBernstein Is Dismissed”, Wall Street Journal, Dec. 2 (sub)). For Lerach’s side of the matter, see Floyd Norris, “In Unusual Ruling, Law Firm Is Told to Pay Opponent’s Legal Fees in Enron Case”, New York Times, Dec. 2. More: And here’s a (subscriber-only) WSJ editorial: “Loser pays”, Dec. 7.
Judge to Lerach: pay defendant’s fees
So rare and so useful when it happens: “The federal judge overseeing the Enron shareholders’ class-action lawsuit dismissed a $1 billion claim brought by plaintiffs’ lawyer William Lerach against investment firm Alliance Capital Management. And in an unusual move, Judge Melinda Harmon in Houston ordered that the plaintiffs pay Alliance’s attorney’s fees under Section 11(e) […]
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