Dismissal upheld in Ashland suit vs. Oppenheimer

Headline News

A Kentucky-based chemical company cannot prove that its investment broker knew in advance that a securities market would collapse in early 2008, leaving the company with $194 million in investments that couldn't easily be sold, a federal appeals court ruled Thursday.

A three-judge panel from the U.S. 6th Circuit Court of Appeals found that Ashland Inc. couldn't show that New York-based Oppenheimer & Co. lured the company into continuing to buy auction rate securities while hiding knowledge about an impending market implosion.

"At best, the alleged facts suggests that a few Oppenheimer employees were aware of what might happen if the underwriters left the ARS market, a seemingly remote risk, given its past stability," Judge Deborah Cook wrote for the unanimous panel.

The decision upholds a ruling in 2010 by U.S. District Judge Jennifer Coffman rejecting Ashland's claims. Ashland sued Oppenheimer in 2009, accusing the brokerage firm of providing intentionally misleading information about the market for student loan-backed auction rate securities up until the market went under in February 2008.

Auction rate securities are long-term bonds with interest rates periodically reset through recurring auctions, which are commonly held between on a schedule ranging from seven to 35 days. Investors can sell their securities at each auction, provided buyers outnumber sellers. If there are more sellers than buyers, an auction fails, potentially leaving sellers holding the securities.

Related listings

  • Man executed in Delaware for killing woman with ax

    Man executed in Delaware for killing woman with ax

    Headline News 07/29/2011

    Delaware carried out its first execution since 2005 early Friday, putting to death a man who was convicted of killing a woman with an ax during a burglary nearly two decades ago.Robert Jackson III was pronounced dead at 12:12 a.m. after being given a...

  • Bogus court filings spotlight little-known sect

    Bogus court filings spotlight little-known sect

    Headline News 07/27/2011

    From New Jersey to California, police, courthouse officials and real estate agents are being confronted with a baffling new problem: bogus legal documents filed by people claiming to follow an obscure religion called Moorish Science. Their motives ra...

  • Judge wants agency to investigate Meijer lawyer

    Judge wants agency to investigate Meijer lawyer

    Headline News 07/25/2011

    A judge believes a lawyer committed perjury when he denied knowing anything about the role of Meijer Inc. in a 2007 recall election of township officials in northern Michigan's Grand Traverse County. Judge Philip Rodgers said he has referred the matt...

Illinois Work Injury Lawyers – Krol, Bongiorno & Given, LTD.

Accidents in the workplace are often caused by unsafe work conditions arising from ignoring safety rules, overlooking maintenance or other negligence of those in management. While we are one of the largest firms in Illinois dedicated solely to the representation of injured workers, we pride ourselves on the personal, one-on-one approach we deliver to each client.

Work accidents can cause serious injuries and sometimes permanent damage. Some extremely serious work injuries can permanently hinder a person’s ability to get around and continue their daily duties. Factors that affect one’s quality of life such as place of work, relationships with friends and family, and social standing can all be taken away quickly by a work injury. Although, you may not be able to recover all of your losses, you may be entitled to compensation as a result of your work injury. Krol, Bongiorno & Given, LTD. provides informed advocacy in all kinds of workers’ compensation claims, including:

• Injuries to the back and neck, including severe spinal cord injuries
• Serious head injuries
• Heart problems resulting from workplace activities
• Injuries to the knees, elbows, shoulders and other joints
• Injuries caused by repetitive movements

For Illinois Workers’ Compensation claims, you will ALWAYS cheat yourself if you do not hire an experienced attorney. When you hire Krol, Bongiorno & Given, Ltd, you will have someone to guide you through the process, and when it is time to settle, we will add value to your case IN EXCESS of our fee. In the last few years, employers and insurance carriers have sought to advance the argument that when you settle a case without an attorney, your already low settlement should be further reduced by 20% so that you do not get a “windfall.” Representing yourself in Illinois is a lose-lose proposition.

Business News

New York & New Jersey Family Law Matters We represent our clients in all types of proceedings that include termination of parental rights. >> read