Last year, superlitigators David Boies of the eponymous Boies, Schiller and Flexner and Ted Wells of Paul Weiss faced off in a battle between AIG and its ousted former CEO, Hank Greenberg.
Now they’re facing off again in another New York court over a multi-billion-dollar deal gone bad.
Details after the jump.
Boies represents Guy Hands, who not only has a silly name, but has made a fortune as the founder of private-equity firm Terra Firma Capital Partners.
Terra Firma bought music company EMI some years back, in a $6.4 billion deal brokered by Wells’s client, Citi.
Things went south in a hurry, and Terra Firma started looking for someone to blame.
Then they apparently discovered that Citi had been less-than-forthright in the auction process, both by (ALLEGEDLY!) telling Terra Firma that there was competition for the company and that other bidders hadn’t dropped out. That led Terra Firm to believe it had overpaid for the company, and sued Citi for the lost billions.
Citi has a pretty simple defense:
“This is a bad business decision by Guy Hands,” Mr. Wells said. “He can’t get a do-over by saying he was tricked or misled. That didn’t happen.”
What do you think? Can Boies make it two in a row, or will Wells get his revenge?