Accountant Liability:  In a ground-breaking case in the areas of accountants’ liability and RICO, KBT&F successfully represented a high-tech semiconductor manufacturer in a RICO lawsuit seeking damages from a Big Three accounting firm for its partners’ violations of auditor independence requirements resulting in postponement of a public offering. After a motion to dismiss was defeated, a confidential settlement was reached.

Adelphia Bankruptcy Litigation:  KBT&F represents the Adelphia Recovery Trust, established as part of the Adelphia bankruptcy plan of reorganization, in its action to recover more than $5 billion in damages from the banks that financed Adelphia.  The action alleges that the banks helped Adelphia's controlling family loot funds from the company.  Discovery in the case is on-going.

Advanced LED Manufacturing Patents Litigation and Licensing:  KBT&F represents Professor Gertrude Neumark Rothschild of Columbia University, who invented a patented process for the manufacture of blue, green and white LEDs, which are increasingly used as a superior lighting source in numerous applications such as flat screen TVs, computers, traffic lights, instrument panels mobile-phone screens and other multi-color displays.  KBT&F is prosecuting Professor Neumark's patent infringement suit against Cree, Inc., and has represented her in negotiating licenses of her patents to third-parties.

Antidumping Duties Proceeding :  KBT&F represents Tokyo Kikai Seisakusho, Ltd., an international manufacturer of printing presses and press additions, in defense of the Department of Commerce's reconsideration of review involving a determination not to assess antidumping duties on Tokyo.  In addition, KBT&F successfully represented Tokyo in opposition to a petition for writ of certiorari to the U.S. Supreme Court, seeking to reinstate an injunction precluding Tokyo from pursuing litigation in Japan to recover monies paid on a judgment in the United States.

Auction Rate Securities:  From the first days following the collapse of the $330 billion auction rate securities market, KBT&F has represented numerous investors, including corporations and high net worth individuals, in disputes involving hundreds of millions of dollars in losses, including among other things, lost liquidity.  These disputes include, among others, issues relating to the remarketing of ARS through “Dutch auctions," taxable and tax-exempt debt issued by municipalities and student loan providers, taxable and tax exempt preferred equity instruments issued by closed-end funds, as well as even more obscure and complex derivative instruments issued by insurance Regulation XXX trusts and credit derivative product companies.

Comcast Securities Litigation:  KBT&F represents Comcast, a leading cable television company, in a series of securities and corporate governance actions arising from the collapse of Excite@Home, once one of the most recognized internet portals. To date, KBT&F has, among other things, secured a dismissal in Federal Court in New York of the largest claim ever filed for disgorgement of short-swing profits pursuant to Section 16(b) of the Securities Exchange Act of 1934.  Other related litigation is ongoing in Delaware Chancery Court.  KBT&F also represents Comcast in two putative antitrust class actions, each comprising approximately two million putative class members.  The cases are pending in Pennsylvania and Massachusetts, and allege antitrust violations in the cable television market. 

Criminal Defense of Alleged Off-Label Marketing:  KBT&F represents Dr. Scott Harkonen, the former Chairman and CEO of Intermune, a California biotech company, who has been charged in federal court in San Francisco with criminal offenses arising from alleged off-label marketing activities relating to one of Intermune's products.

Enron Securities Class Actions:  KBT&F represents the Royal Bank of Canada, one of the financial institution defendants, in the securities fraud putative class actions, including the Newby class action, instituted as a result of Enron's demise.  The cases are brought on behalf of Enron's stockholders, and claim that Enron's lenders participated in Enron's fraud and assisted Enron in misusing various complicated transactions and financial structures so as to overstate Enron's earnings and financial health.  

Fairfax Financial Litigation:  KBT&F represents Fairfax Financial Holdings Limited, a Canadian insurance holding company, in a New Jersey action arising out of an attack on Fairfax and its operating subsidiaries by a group of short-selling hedge funds and their operatives in collusion with certain purportedly independent securities analysts.  Fairfax and its principal property and casualty insurance subsidiary have asserted claims under New Jersey's RICO statute and New Jersey common law seeking $6 billion in damages for the harm they suffered as a result of the attack.  In September 2007, the New Jersey Superior Court denied the defendants' voluminous motions to dismiss Fairfax's complaint and the New Jersey appellate courts subsequently denied defendants' applications for leave to appeal that decision.  Discovery in the action is under way and trial is expected in 2009. 

M&A Litigation:  KBT&F has represented private equity funds (including Apollo Management L.P., Centerbridge Capital Partners, L.P., Fortress Investment Group and TPG Capital) in connection with disputes over acquisitions and acquisition financings large leveraged buyout transactions.  KBT&F has formulated litigation strategy for disputes with target companies regarding material adverse effect clauses, post-merger insolvency and specific performance, and in disputes with major banks regarding funding of debt financing commitments.  The Home Depot Supply and Harrah's Entertainment buyout transactions in which KBT&F has been involved have funded and closed.

Major Bankruptcies:  KBT&F represents creditors' groups and committees in many of the country's largest bankruptcy proceedings, including MCI, Adelphia Communications, Enron, Linens ‘N Things and Refco.  In representing the MCI bondholders, after several months of investigation and litigation, KBT&F negotiated a resolution that provided an enormous recovery for our clients and we were instrumental in forging a successful reorganization of the company.

Mega Bloks Products Liability Cases:  KBT&F represents Mega Bloks, a manufacturer of several lines of children's toys.  One product line, MAGNETIX, is a building set based on rods, balls and other plastic shapes connected by magnets.  KBT&F is defending Mega Bloks throughout the country in product liability claims relating to this product.  KBT&F also represents Mega Bloks in its lawsuits against the sellers of the company that created and manufactured MAGNETIX.

Microchip Litigation:  KBT&F represented a major chemical manufacturer in numerous lawsuits filed in New York, California and Minnesota on behalf of more than 350 current and former IBM and National Semiconductor employees, their spouses and their children, who alleged that exposure to chemicals used in the semiconductor manufacturing industry, including a critical chemical supplied by KBT&F's client, caused various cancers, birth defects or other injuries.  During the course of the litigation, KBT&F successfully obtained approximately 90 summary judgment dismissals, on various legal theories, which ultimately resulted in a confidential settlement of all the claims.

Multi-District Defense of Modem Patent Infringement Claims:  KBT&F represents Adelphia Communications Corporation in defense of a multi-district patent infringement litigation in the District of Delaware against claims by Rembrandt Technologies involving modem technology.

National Century Financial Enterprises:  KBT&F represents Lloyds TSB and Metropolitan Life in the prosecution of claims against investment banks, indenture trustees, rating agencies and accountants arising out of the multi-billion dollar fraud at National Century Financial Enterprises, Inc.  KBT&F successfully defeated motions to dismiss filed by certain of the defendants, and subsequently negotiated confidential settlements with many of the defendants, and continues to prosecute the claims against the remaining defendants.

Plaintiff Tort Actions:  KBT&F represents thousands of individuals in tort actions, including actions relating to PCB exposure, icocyanate exposure and use of Vioxx.  KBT&F obtained a three-hundred million dollar ($300,000,000) settlement on behalf of residents of Aniston , Alabama relating to their property damage and personal injury claims arising from exposure to PCBs.  KBT&F currently is prosecuting claims on behalf of 1,500 coal miners in state court in Alabama relating to their injuries from exposure to  isocyanate-based roof sealing and ventilation control products.  KBT&F also represents hundreds of plaintiffs in Vioxx litigation.

Polybutylene Plumbing:  As national counsel to a large chemical manufacturer in mass product liability litigation concerning allegedly defective plumbing systems installed in six million homes nationwide, KBT&F negotiated and gained final approval for one of the largest product liability class action settlements in history, and has successfully defended that settlement against constitutional law challenges in federal and state trial and appellate courts around the country.  KBT&F also has been instrumental in establishing and managing a national claims facility established for the administration of the settlement.

Refco Bankruptcy Litigation:  KBT&F represents the Committee of Unsecured Creditors of Refco, Inc., one of the nation’s largest commodities brokerage firms, in investigating the role of Refco’s underwriters in the company’s collapse.  KBT&F also obtained an attachment of $1.2 billion in assets of a foreign bank related to Refco, which ultimately led to a $675 million recovery for Refco.  In 2007, the Refco Litigation Trust retained KBT&F to investigate potential claims against third parties, resulting in KBT&F's simultaneous filing and subsequent prosecution of more than 250 individual lawsuits.

Shareholder Derivative Actions:  In a precedent-setting shareholder derivative lawsuit in New Jersey, KBT&F obtained summary judgment on behalf of the board of directors of a major utility, after KBT&F also had conducted at the board’s request an internal investigation of the alleged misconduct. 

Sub-Prime Debt Products:  KBT&F represents numerous clients in disputes arising from their holdings in net interest margin securities, residential mortgage pass-through certificates backed by subprime, Alt-A and prime mortgages, as well as disputes relating to commercial mortgage pass-through securities supported by a broad range of real-estate assets.  KBT&F also represents clients in connection with disputes relating to securities issued by off-shore limited liability companies through both cash and synthetic structures, including disputes relating to the quality and integrity of underwriting, adequacy of disclosure, potential fraud in the inducement to engage in transactions, and accuracy and reasonableness of asset valuations.

Swap Transactions:   KBT&F represents clients in disputes involving swap transactions, including credit default swaps, interest rate swaps, commodity forward swaps, and constant maturity swaps, including the enforceability, valuation and termination of swap transactions.

Takeover Litigation:  KBT&F represented Southern Union Co. in its lawsuit relating to Southern Union's unsuccessful acquisition bid for Southwest Gas Corp.  At trial, the federal court jury awarded Southern Union $60 million in punitive damages against the Arizona Corporation Commissioner for improperly influencing the outcome of the acquisition.  The primary corporate defendants in the case, Southwest Gas Corp. and the competing bidder, Oneok Inc., agreed to multi-million dollar settlements with Southern Union before trial.  The verdict is believed to be the largest-ever punitive damages award against an individual.

Tobacco Litigation:  KBT&F has been national counsel to cigarette manufacturer Liggett Group Inc. in smoking and health litigation since 1996.  KBT&F conceived, negotiated and implemented the first-ever settlement in 1996 and 1997 of smoking and health litigation, settling health care cost recovery actions brought by states' attorneys general against Liggett.  These Liggett settlements led to revolutionary changes in industry conduct, as well as extra-ordinary financial benefits for our client.  In addition, KBT&F has successfully defended Liggett at trial in class action, third-party payor and individual personal injury lawsuits allegedly arising from cigarette smoking.  For example, in March 2006, KBT&F obtained a defense verdict in favor of Liggett from a Palm Beach jury, which found that Liggett was not responsible for the death of a woman who allegedly smoked the company's products for more than 45 years.

Toxic Tort and Product Liability:  KBT&F represents numerous manufacturers and chemical producers in product liability and mass toxic tort cases throughout the country.  KBT&F has successfully resolved, by trial or motion practice, numerous individual actions, consolidated actions and putative class actions.  For example, KBT&F has frequently obtained defense verdicts in asbestos and other trials, and successfully has resolved cases involving:  1,500 plaintiffs who alleged illnesses caused by exposure to chemicals at a television assembly plant; 6,000 nuclear power plant workers and their family members who alleged illnesses caused by on-site chemical exposure; several hundred plaintiffs who alleged illnesses caused by the release of chemical wastes from a disposal facility; and several hundred plaintiffs who alleged illnesses caused by emissions from a neighboring landfill.

World Trade Center Bombing Trial:  KBT&F represented the Port Authority of New York and New Jersey in March 2005 in the defense of the Port Authority in the five-week trial of a consolidated action concerning the Port Authority's liability for the 1993 bombing of the World Trade Center, the first major terrorist attack on United States soil.  The hundreds of plaintiffs in the action consist of representatives of estates of individuals killed in the attack, injured individuals, and World Trade Center tenants (including several financial services firms) that allegedly incurred business interruption damages as a consequence of the attack.