Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm News
Author: Scarinci Hollenbeck, LLC
Date: February 10, 2014
The Firm
201-896-4100 info@sh-law.comOcean, New Jersey –February 10, 2014 – A team of lawyers at Scarinci Hollenbeck led by partner Anthony R. Caruso, Esq. won a major victory in Delaware Chancery Court recently. Vice Chancellor Glasscock ruled in favor of their clients, American Capital Acquisition Partners LLC and related individual principals as Plaintiffs, in an action against financial conglomerate LPL Financial LLC and LPL Holdings Inc.
Defendants had purchased Plaintiffs’ operations in 2011. Part of the purchase price was to be paid after the acquisition based on future revenues. The lawsuit stemmed from the absence of post-closing earnings when Plaintiffs expected to accrue more revenue and felt they were precluded by Defendants from doing so.
Plaintiffs filed suit in Delaware Chancery Court against Defendant LPL Financial LLC and LPL Holdings, Inc. and in New Jersey on a related action against Andrew Putterman and Fortigent LLC. Plaintiffs assert several claims including fraud, bad faith and conspiracy against the Defendants. Defendants immediately filed a motion attempting to dismiss Plaintiffs’ complaint by alleging a failure by Plaintiffs to plead a claim.
This is an important victory for our clients, as now they will get the opportunity to prove their case in court
Defendant LPL Holdings and Defendant LPL Financial were unsuccessful to the extent that the Court agreed with Plaintiffs and allowed two of Plaintiff’s claims to go forward to trial. The Court held that Plaintiffs have pleaded sufficient facts to support the inference that Defendants breached the implied covenant of good faith and fair dealing by interfering with Plaintiffs’ ability to generate revenue, thereby preventing Plaintiffs from attaining the revenue targets sufficient to trigger payment under the contingent purchase price arrangement. Additionally, the court sustained Plaintiffs’ breach of contract claim.
“This is an important victory for our clients, as now they will get the opportunity to prove their case in court,” says lead attorney and partner on the case, Anthony R. Caruso, Esq. “I would like to commend my colleagues Charles Yuen, who argued before the court, and Eleanor Grinshteyn who assisted in all aspects of the case. We are confident that our clients will be effective in telling their story as to how they were mistreated by Defendants LPL Financial LLC and LPL Holdings Inc. We all look forward to exposing the facts in this case.”
Senior Associate Eleanor Grinshteyn commented that “it is a rare and meaningful occurrence when a Delaware court allows a breach of implied covenant of good faith and fair dealing claim to continue.”
Defendant LPL Holdings and Defendant LPL Financial are now required to file a formal answer to the active claims being asserted by Plaintiffs, and then the parties will enter the discovery period. A decision in the related New Jersey action is expected soon.
###
About Scarinci Hollenbeck
Scarinci Hollenbeck (@S_H_Law) is a New York, New Jersey and Washington, D.C. law firm that serves a diverse group of clients in numerous industries. The full service, general practice law firm retains a highly trained legal team with expertise in several areas, including Corporate Transactions and Business Law, Insurance Law, Cyber Security & Data Protection Law, Bankruptcy and Creditor’s Rights, Environmental and Land Use Law, Litigation, Public Law, Commercial Real Estate, Sports and Entertainment Law, and Tax, Trust & Estate Law. Top-tier personnel, innovative technology and superior client service adds to Scarinci Hollenbeck’s reputation as one of the most highly ranked law firms in the New York, New Jersey and Washington, D.C. area.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Scarinci Hollenbeck Partner Nathanya G. Simon named by ROI-NJ to the “ROI Influencers: Women in Business” list for fourth consecutive year Scarinci Hollenbeck Partner Nathanya G. Simon has been named by ROI-NJ to the “ROI Influencers: Women in Business” list for 2025. After four decades of practice, Nathanya’s pioneering influence in the field of special […]
Author: Scarinci Hollenbeck, LLC
Congratulations Angela Turiano on appointment as Director of Legislative Affairs for SHRM Princeton April 17, 2025 – Little Falls, NJ – Scarinci & Hollenbeck, LLC congratulates Partner Angela Turiano on her appointment as Director of Legislative Affairs for SHRM Princeton. Along with serving as a member of SHRM Princeton’s leadership team, Angela will monitor pending legislative, regulatory, […]
Author: Scarinci Hollenbeck, LLC
Congratulations Brittany P. Tarabour for Nomination as Three-Year Trustee of the Monmouth Bar Association Red Bank, NJ – April 9, 2025 – Scarinci & Hollenbeck, LLC proudly congratulates Brittany P. Tarabour on her nomination by the Monmouth Bar Association to serve as a Three-Year Trustee. Founded in 1908, the Monmouth Bar Association is dedicated to […]
Author: Scarinci Hollenbeck, LLC
Scarinci Hollenbeck Partner Ron Bienstock Featured on Bloomberg Law Podcast to Discuss Dua Lipa Copyright Infringement Lawsuits Little Falls, NJ – April 8, 2025 – Scarinci & Hollenbeck, LLC Partner and Chair of the firm’s Intellectual Property and Entertainment & Media departments Ronald S. Bienstock was recently featured on the Bloomberg Law podcast to discuss […]
Author: Scarinci Hollenbeck, LLC
Scarinci Hollenbeck Attorneys From Little Falls and Red Bank Named to 2025 New Jersey Super Lawyers List Little Falls, NJ – April 2, 2025 – Scarinci & Hollenbeck, LLC attorneys from both NJ offices were named to the 2025 New Jersey Super Lawyers and Rising Stars list. Each attorney was chosen in recognition of their […]
Author: Scarinci Hollenbeck, LLC
On Thursday, April 3, 2025, Partner Angela Turiano will make her fifth appearance as a mock arbitrator for the Securities Arbitration Clinic at the prestigious Fordham School of Law. Angela will draw on her years of experience to provide feedback to these future lawyers after making opening presentations and closing arguments, with the goal of […]
Author: Scarinci Hollenbeck, LLC
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!