Rus Miliband & Smith : Representative Cases : Litigation

Thomas H. Casey, etc. v. U.S. Bank National Association
The Firm represented Thomas H. Casey, the Chapter 7 Trustee of bankrupt investment company, DFJ Italia, against City National Bank, U.S. Bank National Association ("U.S. Bank"), and Wells Fargo Bank. Multi-million dollar settlements were reached with City National Bank and Wells Fargo Bank prior to trial, based in part on the opinion of the Court of Appeal in Casey v. U.S Bank National Association (2005) 127 Cal.App.4th 1138. After a three month trial, the jury rendered its verdict, finding U.S. Bank had aided and abetted breach of fiduciary duty by the debtor's agents in the looting of DFJ Italia and judgment was entered in favor of the Trustee for $16 million.

Lyman Gardens Apartments, LLC, et al. v. Coudert Brothers, LLP, et al.
The Firm successfully concluded a three week jury trial and was awarded a $2.5 million breach of fiduciary duty verdict and judgment, including punitive damages, against the 600 lawyer, New York City based Coudert Brothers, the oldest international law firm in the United States. The judgment proved to be the triggering event for the 2006 Chapter 11 filing by Coudert Brothers in the Southern District of New York, where the Firm was selected as Co-Chair of the Creditors Committee.

ACC/Lincoln Savings Securities Litigation
The Firm was appointed co-lead counsel in this multi-district litigation on behalf of the plaintiff class of Bondholders who recovered in excess of $250 million from the professionals who assisted Charles Keating against whom a $4.0 billion jury verdict was rendered in 1992 in this notorious fraud case involving the collapse of Lincoln Savings & Loan.

Popejoy v. Balboa Bay Club
The Firm represented the plaintiff, a prominent financier and former Orange County Chief Executive Officer, in this action against the owners of the Balboa Bay Club, arising from his blocked attempt to purchase the controlling interest in the legendary waterfront property in Newport Beach for $73 million. The suit was settled after commencement of trial in 2002 for a confidential sum.

FTC v. First Alliance Mortgage Company
The Firm represented the defendant, the Chairman and CEO of this publicly traded, national mortgage lender in multiple Federal Court coordinated class actions and lawsuits brought against him by the Federal Trade Commission and various States Attorney General alleging unlawful lending practices which were the subject of the New York Times and 20/20 features. The actions were settled in 2002 in a manner extremely favorable to the Firm's client, thereby eliminating a nationwide exposure in excess of $500 million.

TMI Partnership Litigation
The Firm was designated by the Court as lead counsel in this complex litigation on behalf of a class of approximately 20,000 California teachers seeking recovery for the diversion of cash in the operation of more than thirty publicly syndicated limited partnerships. Concluding in 1998, settlement payments of over $20 million were made by the managers of the partnerships, their lawyers, banks and a Big Six accounting firm.

Crow Irvine #2 v. Winthrop California Investors
The trial court entered judgment in 2000 in favor of this partnership including Trammell Crow Co. executives represented by the Firm in a fight for continued control and ownership interest in the 105-acre, mixed-use commercial real estate project known as Park Place located in Irvine, California. In the action, the New York based Winthrop attempted to seize control of the land, retail center and nearly 4 million square feet of entitled office, hotel and residential space.

Amen Wardy v. St. John Knits
The Firm represented the plaintiff, internationally known designer Amen Wardy, in this battle for corporate control of the nationwide chain of St. John Home Stores which he founded in 1999.

JKS v. Toshiba American Information Systems, Inc.
The Firm represented the domestic computer and information services division of the international company, Toshiba, in defending a claim brought against it under the Uniform Commercial Code. The Firm won dismissal of all claims.

Lennar Homes of California v. United Enterprises, Ltd.
The Firm represented the plaintiff, Lennar, one of America's largest residential developers, in this multi-million dollar action for breach of contract and fraud. The action arose out of a contested Chapter 11 case in the Southern District of California and concluded in 1998 in the state court by the payment of a million dollar settlement to the firm's client, Lennar Homes of California.

Bank v. Developer
The Firm defended the interests of one of Southern California's most prominent real estate developers in this matter which was settled in 1997 by confidential agreement with one of the nation's largest banks. A deficiency judgment approximating $32 million was sought by the bank related to the development of a failed 270-acre planned use community.

Schafer v. Daewoo International America Corporation
The Firm successfully defended Vern Schafer, Jr. in this action prosecuted by one of the largest corporate conglomerates from the Republic of Korea. After an eight week jury trial in 1995, Mr. Schafer was granted judgment of nearly $15 million against that corporation, including punitive damages, for its fraudulent conduct in the destruction of Schafer & Sons pianos.

Baldwin Building Contractors v. GECC
The Firm was selected to represent the Bankruptcy Trustee of perhaps the largest failed home builder in California in the 1990's. The Firm prosecuted and successfully settled an action against the lender resulting in a multi-million dollar return to the estate.

Sanyo Foods Corp. of America v. Dove Canyon Company
The Firm represented the interests of this well-regarded golf course development and management company related to the sale of Dove Canyon Country Club in Orange County, California. This complex litigation involved competing claims amongst a variety of merchant builders, the community of Dove Canyon and the National Audubon Society. The terms of the confidential settlement in 1996 of the case were favorable to the Firm's client.

Manheim Auctions v. Western Leasing
The Firm successfully prosecuted and in 1997 was granted a $7.0 million judgment on behalf of the world's largest automobile auction, a subsidiary of Atlanta based Cox Enterprises, against a network of retail automobile dealers in California arising from an organized interstate fraud.

Bank of Newport v. Sonora Leasing et al.
The Firm was chosen to represent the Bank in successfully gaining control over a group of companies which perpetrated a multi-million dollar "ponzi scheme" against the Bank.

Mandell v. Sunwest Bank
The Firm represented the Bank in defending this class action arising from a multi-million dollar third party fraud. The action was dismissed without payment by the Bank in 1996.