Harman International settled its dispute with Kohlberg Kravis Roberts & Co. and Goldman Sachs over the latter’s deal to buy the former for $60 a share. KKR and Goldman instead invested $400 million in Harman convertible notes — money that Harman says it will spend to repurchase its own shares. Because, you know, the company
Beverage Behemoth’s “Act of Desperation Will Fizzle Like New Coke”
New Coke (1985-2002), left, went the way of the dinosaur in the U.S. but still sells in Yap.
The Coca-Cola Company asked a court not to grant class treatment for a securities case against the Real Thing maker. Its reasons, per the WSJ today, included an allegation that lead class counsel, Coughlin Stoia, made
Commercial Litigation: Ready for Subprime Time?
Fall out from bad subprime mortgages started hitting where its hurts count — on Wall Street. As the NYT reports today, the outfits that pay interest on bonds have begun to cut off remissions to people who bought bonds that depend on subprime mortgages for their money. The Times article predicts that the drying up
Dormant Commerce Clause Slumbers Still
As best Blawgletter recalls, we learned somewhere between 1981 and 1984 that the Constitution’s dormant commerce clause hates disturbances. That the clause would prefer to sleep in. But that on occasion it must rouse itself.
Today proved no exception — or, at most, a little one. The Second Circuit ruled that the dormant clause needn’t
“Com-smash-tic”
Okay for Big Firm to Buy Market, Sixth Circuit Holds En Banc
NicSand and 3M made sandpaper for do-it-yourself body repair folk. They sold the abrasive paper through big retailers, including Wal-Mart, KMart, and and Pep Boys, under exclusive single or multiple year contracts.
But then 3M started forking over millions of dollars in up-front cash to lock up the retailers’ business. NicSand tanked. Retailers raised their
Mukasey AG Nomination Update
Attorney General nominee and ex-federal judge Michael Mukasey testified before the Senate Judiciary Committee today. Blawgletter hasn’t studied the articles yet — yes, we had a busy day — but the headlines and blurbs all sound positive. See WSJ’s take here; Washington Post here; NYT here; and LA Time here.
Call
Bells Ring Up Big Internet Win
The Third Circuit today upheld a Federal Communications Commission order that allows incumbent local exchange carriers — nowadays primarily AT&T and Verizon — to discriminate against competiting providers of Internet service. The court concluded that the FCC didn’t exceed its authority in treating ILECs as purveyors of "information services" when they furnish access to the
A Constitutional Right to Fantasy Baseball?
The Eighth Circuit today affirmed a summary judgment favoring an outfit that sells fantasy baseball services. The enterprise, C.B.C. Distribution and Marketing, licensed the information about big league players — including their "nicknames" — from The Major League Baseball Players Association until 2005. Then it started using the national pastime data without a license. CBC
Big Backdating Settlement: Hewlett-Packard
Hewlett-Packard agreed to settle, for $117.5 million, a securities fraud case arising out of options backdating at Mercury Interactive, which H-P acquired in 2006. WSJ article here.
Partner Joel Bernstein at Labaton Sucharow praised the settlement as dwarfing the previous largest one, in which Rambus paid $18 million.
The pact requires court approval.
Barry