News

May 2009

KBT&F Begins Trial on Behalf of Toy Manufacturer Mega Bloks

Michael S. ShusterDaniel P. GoldbergKara F. HeadleyDorit UngarKristina "Tina" R. JuntunenDavid D. Holahan


On Monday, May 18, KBT&F began representing toy manufacturer Mega Bloks in its trial against Jeffrey and Larry Rosen in an action arising from the 2005 sale of their company, Rose Art Industries, to Mega Bloks, in the United States District Court for the Southern District of New York.  The Rosens claim a $60 million earnout under the parties' stock purchase agreement, and Mega Bloks has asserted counterclaims alleging that the Rosens knew but failed to disclose that their company's key product, Magnetix, was defective and that the stock purchase agreement contained representations that the Rosens knew at the time to be false.  Mega Bloks seeks over $200 million in damages on its counterclaims.  KBT&F attorneys Michael Shuster, Daniel Goldberg, Kara Headley, Dorit Ungar, Kristina Juntunen and David Holahan lead the Mega Bloks trial team.