Lawsuits

Back in 2010, a Glencore trader named Andrew Kearns was fired for what management perceived as a drinking problem, which they believed was affecting Kearns’s ability to do his job. Kearns denied that his drinking was a problem, and filed a wrongful termination suit, seeking $1.2 million. Last month, a judge ruled no dice on the $1.2 million; yesterday he rejected the remaining piece of the claim, which sought a mere $20,000. Where did things go wrong for Kearns? Ultimately, it came down to not seeing eye to eye with his superiors on a number of booze-related issues. Among them:

A debate over the line between being a fall down drunk and merely mixing it up with clients.

  • Kearns, who earned about $500,000 a year “regularly consumed excessive amounts of alcohol,” which meant he was late for work or unable to function effectively, Seymour said in the written decision. Kearns argued during the trial that Glencore’s claims weren’t true and that he had been doing his job by socializing with clients. He denied having an alcohol problem and said the company singled him out because of a disagreement with managers.

The proper way to stage an intervention, and the appropriate response to such a thing.

  • Cohen told the judge that when Glencore offered to help Kearns see an addiction expert, he responded by spending an afternoon in the pub.

Read more »

Martin Klotz, the attorney representing Cohen,* has thrown himself at the mercy of the court and asked, for the umpteenth time, that suit brought by Patrica Cohen– the ex-wife that could– be dismissed. Klotz made the request of U.S. District Judge William Pauley who, if you’re keeping track at home, is the second judge to preside over this case, while the plaintiff is on her third lawyer. Read more »

James Dondero is the founder and CEO of Highland Capital Management, a Dallas-based hedge fund. In addition to his duties at the firm, a portion of Dondero’s time is currently being spent on two legal matters. One is his divorce from Becky Dondero, who he’s been battling in court for over two years. The second is his lawsuit against former Highland PM Patrick Daugherty, who the firm described as a “megalomaniacal” manager known for engaging in “abusive tirades” that “dehumanized employees.” Perhaps coincidentally, the suit against Daugherty was filed two weeks after he testified on behalf of Becky Dondero, claiming that over drinks, James told him of a plan to “get his net worth down and pay [Becky] as little as possible.” Daughtery also alleged that Dondero asked him to lie on the stand, and to try remember a time when Daughtery regarded Becky as “a whore.”

Anyway, it wouldn’t be too crazy to think that all of this might be slightly distracting to Dondero and occupy at least a small portion of the attention he might otherwise devote to his day job at Highland. Even Jimmy recognizes that it’s a reasonable assumption to make. But, he assures you, it is an incorrect one. Rather, Dondero can expend unlimited energy on both making investors top dollar AND making sure his estranged spouse gets nada while at the same time making his sworn enemy look ridiculous. The reason we know this is that Highland has released a nearly 1,000-word press release saying as much. Read more »

Next time you think about pitying yourself for having to pull an all-nighter finishing yet another pitchbook or complaining to your friends that you’ve worked your fingers to the bone all week picking up the slack for your MD or worrying that you might go blind if you stare at the computer screen for one second longer, consider first walking a mile in this woman’s shoes: Read more »

The liquidators want $1 billion for investors and the name of the rating agencies’ dealer for a friend. Read more »

Greg Palm doesn’t have time for them, nor does the NY Fed for employees trying perform the job they were hired for, alleges a lawsuit filed today. Read more »

  • 23 Sep 2013 at 2:01 PM

Steve Cohen Not The Only One Sick Of His Ex-Wife

Those of you who’ve kept a detailed spreadsheet of Things That Are Pains In Steve Cohen’s Ass know that a particularly hide-chapping outstanding item is that of his ex-wife, Patricia. Her existence in general, sure, but specifically the lawsuit she filed against him nearly four years ago. Over the years, the case has been dismissed and the case has been reinstated; Patty has replaced one lawyer, and another, and settled on a third; and the former Mrs. Cohen has gone from asking for $300 million to half of SAC to a measly $8.25 million. The one thing that hasn’t changed? Her desire to nail her ex-husband to the wall. And while she seems to have vowed to never, ever give up in her quest to do so, one member of the bench has decreed she’s got one final shot at settling this the legal way and then must resign herself to getting back at her ex by sticking pins in her Stevie doll. Read more »