Overnight Income Doesn't Float ERISA Plan's Boat.
USA, Capital Markets, Employee Benefits & Pensions, Insolvency & Restructuring, Litigation, Winston & Strawn LLP, Employee Retirement Income Security Act 1974 (USA), Security (finance), Fiduciary
The opinion issued by the Delaware Supreme Court (the “Court”) in the matter of CML V, LLC v. Bax, No. 735, 2010 (Del. Supr. Sept.
USA, Delaware, Company & Commercial, Corporate Finance/M&A, Insolvency & Restructuring, Litigation, Winston & Strawn LLP, Legal personality, Fiduciary, Statute of limitations, Board of directors, Limited liability company, Standing (law), Secured creditor, Derivative suit, Court of Chancery, Delaware Court of Chancery, Delaware Supreme Court
On September 30th, the Sixth Circuit affirmed the dismissal of the bankruptcy trustee's lawsuit against Deloitte & Touche, the debtor's former auditor. The trustee alleged that Deloitte negligently failed to uncover and report unsound related-party transactions by the debtor's sole shareholder and CEO, and aided and abetted the CEO's breach of his fiduciary duty to the debtor. Affirming dismissal, the Court held the trustee failed to allege reliance upon Deloitte's audits and the statute of limitations bars the aiding and abetting claim.
USA, Company & Commercial, Insolvency & Restructuring, Litigation, Winston & Strawn LLP, Bankruptcy, Shareholder, Debtor, Breach of contract, Fiduciary, Audit, Statute of limitations, Limited liability partnership, Negligence, Deloitte, Chief executive officer, Trustee, Sixth Circuit