Kasowitz Wins Leave to Add Key Document to Complaint

In a case pending in Delaware Chancery Court, John Brice has filed suit against David Chene and Darren Richman, the principals of New York-based private equity firm Kennedy Lewis.  The dispute arises from defendants’ alleged refusal to honor their agreement to grant Brice 15% equity in the firm in exchange for his initial $50 million investment in their first fund.  On Friday, the Delaware Chancery Court granted Brice’s motion to amend his complaint to include newly discovered evidence: an equity chart prepared by Kennedy Lewis that specifically confirms Brice’s entitlement to the 15% stake.  According to the complaint, Chene and Richman engaged in threats and intimidation tactics to coerce Brice into surrendering his equity interest in Kennedy Lewis.  These alleged actions intensified after a Goldman Sachs affiliate purchased a minority stake in the firm that valued Brice’s equity position at over $150 million.  The Court granted Brice’s motion in alignment with Delaware’s policy “to resolve cases on the merits.”   
 
Brice is represented by Marc E. Kasowitz and Joshua D. Fulop of Kasowitz LLP.