Financial Services Litigation & Investigations Group
Financial Services Litigation & Investigations Group
In the face of turmoil and uncertainty, the world's major financial institutions continue to choose our team to help them manage their business, litigation and reputational risks and thrive in the new economic and regulatory climate. To our clients we are much more than litigators - we are business partners who have a stake in their success.
Paul, Weiss Obtains Victory for Citigroup
On October 19, Paul, Weiss obtained a victory on behalf of Citigroup, Inc. in the United States Court of Appeals for the Second Circuit. In an opinion written by Judge John Walker Jr., a panel of the Second Circuit affirmed dismissal of a suit brought by employees of Citigroup over losses they incurred by investing their retirement funds in Citigroup stock.
The Second Circuit became the sixth appellate court to hold that ERISA fiduciaries are entitled to a presumption of prudence regarding their decisions to continue to allow plan investments in employer stock. The Second Circuit also held that plan fiduciaries do not have an affirmative duty to disclose to plan participants non-public information regarding the expected performance of company stock.
The Paul, Weiss team included litigation partners Lewis R. Clayton (who argued the appeal), Brad S. Karp and Susanna M. Buergel.