Kleinbard Litigation Team Wins Verdict for Client After 8 Day Bench Trial

Kleinbard’s litgators recently obtained a successful verdict for their client after an 8 day bench trial last year in federal court in Las Vegas, Nevada. The lawsuit was brought by several Morgan Stanley funds seeking to enforce a $38 million judgment they obtained in 2003 against Seven Circle Gaming Corporation (“SCGC”), the U.S. parent company of an entity that developed and formerly owned the Resort at Summerlin, a luxury casino and resort just outside Las Vegas in Summerlin, Nevada.   Plaintiffs pursued alter ego and fraudulent transfer claims against six defendants, including SCGC’s corporate parents and several of its former officers and directors. Kleinbard represented SCGC’s former president.   After an 8 day bench trial in May 2018, the court recently issued its decision. The court found three defendants liable for the full judgment plus interest as alter egos of SCGC, but found Kleinbard’s client was not SCGC’s alter ego and ordered judgment in his favor. Kleinbard’s litigation team of Steven J. Engelmyer, Eric J. Schreiner, Paul G. Gagne and Jenna Smalley represented SCGC’s former president.