Claims for unfair and deceptive acts and practices leveled against the Carlyle Group, David Rubinstein, one of the Carlyle Group's founders, T.C. Group, LLC and Carlyle Investment Management LLC, by former Congressman Michael Huffington will be heard by a jury following a ruling by a Delaware Superior Court.
The Court further stated that "it is for the jury to decide whether Defendants engaged in an 'unfair or deceptive act or practice' by (allegedly) failing to tell [Huffington] about the use or extent of leverage" and the jury must also decide whether the overleveraging of the Fund constitutes an unfair or deceptive act or practice under the applicable law.If Huffington is successful in his claims, the law allows him to seek up to three times his damages as well as his attorneys' fees.
Monday, April 30, 2012
Huffington Deals Carlyle IPO Blow
$20 million investment continued today. His press release stated:
How much might this bad publicity will cost Carlyle in its IPO? If proceeds are more than $20 million below Carlyle's expected discount pricing, Rubenstein et al may wish they'd settled.
Posted by PEU Report/State of the Division at 9:29 PM