Kenneth R. David’s practice focuses on complex litigation in state and federal actions, in arbitration, and in front of regulatory authorities. Ken represents private and public corporations, and individuals, including investment managers, corporate directors, investment banks, securities firms, insurance and reinsurance companies, payment card networks, technology firms, chemical companies, trade groups, and creditors. He handles a variety of securities, antitrust, corporate governance, defamation, fraudulent conveyance, credit-related, commercial, contract, restructuring, and reinsurance matters, and government investigations.
Prior to joining Kasowitz, Ken clerked for the Honorable William H. Pauley III, United States District Court for the Southern District of New York.
- MBIA, one of the world’s largest monoline insurers, in litigation brought by 18 of the world’s largest banks seeking to overturn MBIA’s corporate restructuring which, with the approval of the New York Department of Insurance, established a separate company for MBIA’s municipal bond insurance business. After a several-week evidentiary proceeding, the New York Supreme Court upheld MBIA’s restructuring. The banks agreed to drop their challenge, and MBIA received $1.7 billion in cash and a $500 million line of credit for its municipal bond insurance business.
- MBIA, as trial counsel, in a long-running put-back action against Credit Suisse in which MBIA is seeking to recover over $740 million related to RMBS insured by MBIA, resulting in a two-week trial in New York State Supreme Court, one of the very few such actions to go to trial. The court’s decision is currently pending.
- Former directors of Forest Oil Corporation in the Sabine Oil & Gas bankruptcy against fiduciary duty claims concerning the merger between Forest Oil and Sabine. We successfully obtained decision from the Bankruptcy Court, and, on appeal, the District Court, holding that the claims against our clients were entirely without merit.
- Patriot National in an action in federal court by two hedge funds concerning the sale of securities in a private investment in public equity (“PIPE”) transaction.
- Directors of Patriot National and the company in a shareholder action in Delaware Chancery Court asserting breach of fiduciary duty claims.
- Peter J. Nygård, Nygård International Partnership, and Nygård Inc. in $100 million defamation claims brought by Louis Bacon, the founder of a prominent hedge fund. We successfully obtained dismissal of all claims on multiple grounds.
- Whitebox Advisors in Puerto Rico’s debt adjustment proceedings and related litigation against stakeholders and bond trustee.
- Charles Koppelman and CAK Entertainment, former entertainment advisor to the estate of Prince Rogers Nelson in proceedings and actions related to the estate.
- Mining and metal recovery holding company, the Renco Group, and certain shareholders, in defending thousands of individual suits brought by Peruvian plaintiffs asserting mass tort and vicarious liability claims, including developing and asserting defenses based on the doctrine of international comity and Peru’s assertions of sovereignty.
- Association of Financial Guaranty Insurers, a trade association comprised of the leading monoline insurers, in successful First Circuit and United States Supreme Court appeals concerning whether Puerto Rican law allowing Puerto Rico, rather than Congress, to restructure its debt was unconstitutional and preempted by the Federal Bankruptcy Code.
- A director of Oportun in an action alleging breach of fiduciary duty claims.
- CEO of a publicly traded company in an investigation by the Securities and Exchange Commission.
- Fairfax Financial Holdings, the largest insurance company in Canada, in recovering $31 million, including winning a jury verdict of $5.4 million in compensatory damages against hedge fund Exis Capital and a $5.5 million jury verdict in punitive damages against Exis Capital and two former executives in a New Jersey RICO case involving blatant insider trading, market manipulation and short selling attacks by hedge funds and investment firms. Morgan Keegan, originally a defendant, settled with Fairfax for $20 million shortly before trial. In addition to Fairfax’s $31 million recovery on this action, Fairfax secured additional prior settlements with other defendants.
- FIG LLC, an affiliate of Fortress Investment Group, in an action in the United States District Court for the Southern District of New York brought by Leslie Dick Worldwide and Leslie Dick, which sought over $1 billion in damages for alleged RICO and antitrust conspiracies, concerning the sale of the General Motors Building in New York City and the Conseco bankruptcy. We successfully obtained the dismissal of the claims against Fortress.