Michael Lynn

Michael A. Lynn

Counsel

Mr. Lynn focuses on complex commercial litigation, including defense of shareholder derivative and securities fraud class actions, breach of contract litigation, fraudulent conveyance litigation and bankruptcy and real estate litigation. He is particularly experienced in defending Fortune 500 corporations against shareholder litigation and in evaluating potential damages claimed by plaintiffs in securities class actions. Mr. Lynn has represented financial institutions, energy companies, medical device manufacturers, real estate development companies, financial advisors and investment banks.

Mr. Lynn has also published several articles concerning liability and damage issues in securities litigations in the New York Law Journal and The National Law Journal, as well as two articles relating to real estate litigation in the New York Law Journal. His law review article published in 1982 concerning the use of the “fraud on the market” presumption in securities fraud cases was cited by the United States Supreme Court with approval in Basic v. Levinson, Inc., 485 U.S. 224 (1988).

Experience

  • Medical device manufacturer who terminated its exclusive supplier for material breach of their agreement. Following a one week trial before the Delaware Chancery Court, the court ruled that our client had validly terminated the contract, dismissed all counterclaims of the supplier and awarded our client more than US$6 million in attorneys’ fees and damages. 
  • The Official Committee of Unsecured Creditors for Color Tile in an action brought against Investcorp, the controlling shareholder of Color Tile, for various breaches of fiduciary duty in causing Color Tile to acquire a blinds manufacturer in a highly leveraged transaction that led Color Tile to file for bankruptcy. Following five years of litigation, the lawsuit was settled on the eve of trial on terms very favorable to our client.
  • Former shareholder of Harbinger who acquired stock in Peregrine Systems, Inc. pursuant to a merger of the two companies based on a materially false registration statement. Claims were asserted against Peregrine’s directors and outside auditor for violations of the federal securities laws. The claims against the auditor settled on terms very favorable to the client. We obtained a landmark ruling  from the Ninth Circuit sustaining the shareholder’s right to bring a Section 11 claim against the directors, even where the shareholder was a party to a binding lock-up agreement regarding the voting of his shares.   
  • Minority shareholder of a chain of high-end hair salons in New York City, asserting claims against the majority shareholder for breach of fiduciary duty, breach of contract and fraud. Following a two week jury trial, we obtained a multimillion verdict in favor of the minority shareholder, including a substantial amount in punitive damages.
  • Future Asbestos Claimants of Owens-Corning in the Owens Corning bankruptcy which involved a four-week trial concerning substantive consolidation and the elimination of upstream guarantees of bank debt, and a two-week trial estimating Owens Corning’s present and future asbestos liability. We were successful in obtaining an approximate US$7 billion estimation of liability on behalf of the future claimants.
  • GEA Group AG in connection with a breach of contract and fraud action brought by the owner of an ethanol facility against our client and its wholly-owned subsidiary who constructed the ethanol facility. Following three years of litigation, the case settled on terms favorable to our client three weeks before the trial was scheduled to begin.
  • Fidelity Funding, an asset based lender, in a multi-defendant fraud and RICO litigation brought against the borrower and certain of its accounts. The litigation concluded in a favorable settlement to the client and criminal prosecution of the principal defendants.

 

 

 

 

 

Credentials

Education
  • JD, George Washington University, 1983, highest honors, Notes Editor, George Washington Law Review; Order of the Coif
  • BA, Union College, 1980
Admissions
  • New York
Activities
  • Member, American Bar Association

  • Member, Association of the Bar of the City of New York

Overview

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