Faulting Merrill Lynch for withholding "critical" details about the financial status of a subsidiary that it sold to Allegheny Energy Inc., the 2nd Circuit on Friday reversed a $158 million award against Allegheny. The circuit overturned a 2005 decision that directed Allegheny to pay the full purchase price for an energy unit that it purchased from Merrill Lynch, even though Allegheny claimed the financial services company misrepresented certain information about the unit, Global Energy Markets.
2nd Circuit Reverses $158 Million Award Against Allegheny Energy
New York Law Journal
September 4, 2007