Tag Archives: Judge Marrero

Judge Marrero Imposes $1,000 Sanction for Double Spacing Fudge

In a brief order Thursday, Judge Marrero imposed a sanction of $1,048.09 against a party that deliberately broke his individual rule requiring briefs be double-spaced: At the March 24, 2017 hearing regarding plaintiff CafeX Communications’s (“CafeX”) Motion for a Preliminary Injunction (“Motion,” Dkt. No. 8.) the Court found that defendant Amazon Web Services, Inc. (“Amazon”) … Continue Reading

Goldman Sachs Seeks Summary Judgment in Securities Class Action Over CDOs Allegedly Designed to Fail

Goldman Sachs today moved for summary judgment in a shareholder class action (covered previously here) accusing the firm of making various public statements about its business practices that were allegedly fraudulent in light of Goldman allegedly later structuring CDOs to fail. For one of those CDOs, called ABACUS, Goldman settled with the SEC for $550 … Continue Reading

Judge Marrero Won’t Allow Standard Chartered to Make “Counterproductive” Motion for Summary Judgment in Madoff Case

In the ongoing civil litigation against Madoff feeder fund Fairfield Greenwich and others (see our previous coverage here), Judge Marrero took the unusual step yesterday of denying Standard Chartered’s request for a pre-motion conference for their contemplated summary judgment motion.  Standard Chartered had argued that a summary judgment motion was appropriate on a number of grounds, including timeliness, SLUSA preclusion, and … Continue Reading

SDNY Blog Returns as Steptoe Blog

The SDNY Blog is relaunching as a publication of Steptoe & Johnson LLP.  We expect to post several times a week on decisions and other developments in the Southern District of New York.  You can find us right here at www.sdnyblog.com, or follow us on Twitter or Facebook. Here’s a quick summary of what’s been happening in the Southern … Continue Reading

Judge Marrero Rejects SAC’s Argument that SEC Disgorgement Amount Fully Covered Investor Damages

In an opinion today, Judge Marrero denied SAC Capital’s motion to dismiss a class action brought by investors in Wyeth and Elan stock who traded contemporaneously with trades that SAC allegedly made based on inside information. SAC argued (among other things) that it already disgorged to the SEC an amount larger than the amount sought … Continue Reading

In CDO Case, Judge Forrest Rules That New, Helpful Facts Cannot Revive Expired Claims

In an opinion today, Judge Forrest dismissed as untimely claims by a Korean bank, Woori bank, against Citi arising from Woori’s investment in Citi-sponsored CDOs.  Woori argued that it did not have the facts for its claims until the Financial Crisis Inquiry Commission Report in 2011, but Judge Forrest —  echoing a similar decision by … Continue Reading

Judge Marrero Rejects PwC’s In Pari Delicto Defense in MF Global Case

In his latest MF Global ruling, issued today, Judge Marrero denied PriceWaterhouseCooper’s motion to dismiss a $1 billion malpractice and negligence suit brought by the bankrupt brokerage firm’s plan administrator. PwC had acted as an outside auditor and accountant for MF Global before it went bankrupt.  The plan administrator alleged that PwC “engaged in ‘extraordinary … Continue Reading

Judge Marrero Approves $614 Million SAC Capital Settlement With SEC in Light of Second Circuit Ruling in Citi Case

As expected, the Second Circuit’s decision in a pending appeal involving Citibank paved the way for Judge Marrero to approve, in an opinion today, the SEC’s proposed $614 million settlement with SAC Capital. Judge Marrero initially expressed concern about the settlement being on a “neither-admit-nor-deny” basis, but, since then, a jury found former SAC Capital … Continue Reading

Second Circuit Reverses Judge Rakoff’s Rejection of “No Admission” SEC Settlement With Citi

In an opinion today reversing Judge Rakoff’s highly publicized decision to reject Citi’s $285 million settlement between the SEC and Citi that involved no admission of wrongdoing, the Second Circuit held that, in reviewing consent decrees with the SEC, district courts should not address the “adequacy” of settlements: It is an abuse of discretion to … Continue Reading

Judge Marrero Rules on Another Motion to Dismiss MF Global Claims

In an opinion issued yesterday, Judge Marrero granted in part and denied in part the latest motion to dismiss one of a “plethora” of lawsuits against MF Global, Jon Corzine and other former employees and directors of the now-defunct firm.  With this his third ruling in the past several months on claims based on the … Continue Reading

In Beastie Boys Case, Judge Engelmayer Limits Lanham Act Damages to Cases of Willful Violations or Actual Confusion; Excludes Expert Testimony Failing “Laugh Test”

Judge Engelmayer issued an opinion yesterday resolving several motions in limine relating to an upcoming trial concerning the Beastie Boys’ suit accusing the makers of Monster Energy drinks of using Beastie Boys songs in promotional videos without authorization. Judge Engelmayer largely denied the Beastie Boys’ motion to exclude the testimony of Erich Joachimsthaler, a branding … Continue Reading

Judge Marrero Largely Denies Motion to Dismiss Customer Class Action Against MF Global

In a 79-page decision today, Judge Marrero largely denied a series of motions to dismiss a class action brought by customers of MF Global against the company and others formerly affiliated with the company. Echoing an earlier 105-page ruling denying a motion to dismiss a securities class action brought by MF Global shareholders, Judge Marrero … Continue Reading

Judge Maas Rejects Request to Depose SEC Officials to Prove Madoff’s Elusiveness

In the civil litigation against the Madoff feeder fund Fairfield Greenwich, its auditors and others, Judge Maas on Thursday (Thanksgiving Day), denied the defendants’ letter motion to compel depositions of two SEC employees for the purpose of showing that, since Madoff successfully deceived the SEC, he could have also deceived the defendants.  Judge Maas found … Continue Reading

Madoff Case Raises Standard of Review When SEC or Other Agencies Balk at Nonparty Subpoenas

In the civil litigation against the Madoff feeder fund Fairfield Greenwich and other related parties, the SEC and the defendants recently exchanged briefs on the standard for determining whether the SEC must comply with a nonparty subpoena.  The defendants want to depose current and former SEC employees to elicit testimony showing that, since Madoff successfully … Continue Reading

Judge Furman Joins Consensus Endorsing “Self-Affecting” Theory of FIRREA; Splits with Judge Marrero on Scope of Predicate Bank Fraud Law

In an opinion today, Judge Furman largely denied Wells Fargo’s motion to dismiss a government lawsuit relating to its underwriting of government-insured mortgage loans. Judge Furman joined Judges Rakoff and Kaplan in holding that the Financial Institutional Reform, Recovery, and Enforcement Act (“FIRREA”), which allows the government to pursue civil charges against those who commit … Continue Reading

SEC Opposes Subpoenas for Its Employees to Testify About Having Missed Madoff Fraud

In the civil litigation against the Madoff feeder fund Fairfield Greenwich and other related parties, the defendants issued deposition subpoenas to nine current and former SEC employees for the purpose of eliciting testimony showing that, since Madoff successfully deceived the SEC, he could have also deceived the defendants.  In a letter from the SEC posted … Continue Reading

Judge Marrero Conditions Approval of $614 Million SAC Capital Settlement on Pending Second Circuit Ruling

In an opinion filed today, Judge Marrero conditionally approved a $614 million insider trading settlement between the SEC and SAC Capital — the largest insider trading settlement ever (see our prior post).  The approval is contingent on a ruling from the Second Circuit that raises similar questions of whether and when it is appropriate for … Continue Reading

Judge Marrero Denies Madoff Trustee’s Motion to Void Class Action Against Feeder Fund

In a decision yesterday, Judge Marrero denied a motion from the trustee for Bernard Madoff’s investment firm to declare void, and undo a preliminary partial settlement, in the “Anwar” class action against Fairfield Greenwich, a Madoff feeder fund.  Judge Marrero ruled that the Anwar plaintiffs were not customers or creditors of Madoff’s firm, but third parties … Continue Reading

Judge Marrero Certifies Class Action Against Madoff Feeder Fund

Judge Marerro yesterday certified a class against the Fairfield Greenwich feeder funds that invested with Bernard Madoff.  He rejected the argument that individual reliance questions precluded class certification:  “[E]ven assuming Defendants’ claims that certain communications to class members may not have been uniform, they allegedly were uniformly misleading.” The defendants also argued that class certification … Continue Reading

Judge Marrero Dismisses CDO Case as Time-Barred, Concludes that Facts Were Available Long Before Government’s FCIC Report

In a decision yesterday, Judge Marrero concluded that claims by Korea’s Woori Bank against Merrill Lynch over a failed CDO investment were time-barred. Judge Marrero rejected Woori’s argument that it lacked sufficient information to bring suit before the publication of a report from the Financial Crisis Inquiry Commission (“FCIC”):… Continue Reading
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