Insights
The Current State of the Crypto Industry
June 19, 2023
Washington, D.C. partners Ryan Duffy and Kathleen Warin and associate Nate Lefko obtained summary judgment in the District of Columbia Superior Court on behalf of the Financial Industry Regulatory Authority (FINRA). The plaintiff sought to expunge decades-old customer complaints from his registration records and requested wide-ranging equitable relief, including equitable expungement, declaratory judgment, and a permanent injunction. The Wilson Elser team successfully demonstrated that the doctrine of laches barred all the plaintiff’s claims. In granting summary judgment, the Superior Court found that the plaintiff delayed in bringing his claims and material evidence had been lost, which resulted in prejudice to FINRA.
Ryan M. Duffy, Kathleen H. Warin and Nathan Lefko
The St. Louis, Missouri, team of Daniel Tranen (Partner), Julia Wilke (Of Counsel) and Jennifer Boston (Associate) represented a security company client accused to failing to search a psych patient who brought a gun into the hospital emergency department and pointed it at two nurses while they tried to get him to change into hospital scrubs. The nurse plaintiffs argued that the mere fact that he had the gun demonstrated a lapse in security's need to control weapons coming into the emergency department. We convinced the jury that for patients in the treatment area of the emergency department – based on internal hospital policies and the post orders for our client – all searches had to be initiated by hospital staff, and there was no evidence that hospital staff initiated a search. Moreover, the procedures for searches had the search take place after the patient was in hospital scrubs and therefore this particular patient was not yet supposed to be searched under this key policy. Meanwhile, neither nurse plaintiff had requested a search before the gun was discovered, therefore, it was not our client’s fault that the patient had not yet been searched when he revealed the gun to the plaintiff nurses. The plaintiffs requested a verdict of $1 million with both nurses claiming significant PTSD symptoms and damages as a result of the incident. The jury returned a unanimous defense verdict after about an hour (you only need 9 of 12 jurors to reach a verdict in Missouri).
Daniel E. Tranen and Jennifer Boston
John Benford (Of Counsel-Orlando) obtained a favorable jury verdict at trial in a lawsuit brought by three major shareholders/investors of the client, a technology company. The plaintiffs attempted to prove at trial that the client violated their rights as shareholders in preferred stock, including their right to redeem the stock at certain prices. Defense was challenged by evidence offered by plaintiffs that they lost several million dollars on the stock at issue and related investments during the stock market crash of 2008. However, John presented evidence to the jury relating to, among other things, plaintiffs’ failure to act reasonably and engaging in conduct inconsistent with their claims. During closing arguments, the plaintiffs requested that the jury award them $2,760,000. After approximately two hours of deliberation, the jury returned a verdict of only $336,000 – about 12 percent of what they asked the jury to award them. The plaintiffs’ original demand prior to trial was $3,864,000.
John Y. Benford