The Firm obtained a summary judgment victory in the New York Supreme Court, Commercial Division, on behalf of its clients, holders of $228 million in Trust Preferred Securities (“TruPS”), against Defendants who allegedly facilitated and/or participated in wrongdoing that led to nonpayment on the TruPS. See Alesco Preferred Funding VIII, Ltd., et al., v. ACP Re, Ltd., et al., Index No. 655881/2017 (NYSCEF 908) (the “Decision”).

Although representing Plaintiffs, the Firm affirmatively moved for summary judgment against certain Defendants for breach of their TruPS repayment obligations, while also moving for dismissal of certain of Defendants’ affirmative defenses. For their part, two separate groups of Defendants filed two separate motions for summary judgment, seeking dismissal of all of Plaintiffs’ claims and their theories of liability. On July 17 and 18, 2025, Justice Borrok heard oral argument on the summary judgment motions for about a day and a half. Three weeks later, Justice Borrok issued a 56-page decision granting the Firm’s clients summary judgment against the issuers of the TruPS in the amount of $228 million in principal and $190.4 million in interest, and instructing the Firm to enter judgment on behalf of its clients. The Court also dismissed certain of Defendants’ affirmative defenses, and denied Defendants’ motions for summary judgment in all respects.

In denying Defendants’ motions for summary judgment, Justice Borrok held that certain remaining Defendants’ contractual successor liability “is the law of the case” and as such those Defendants “are liable for breach of contract” as well. See (NYSCEF 908 at 37). The litigation will now proceed to trial on Plaintiffs’ claims against the directors and officers of certain of the Defendants, and on the claims for successor liability and alter ego against the non-issuer Defendant entities.

A copy of Justice Borrok’s Decision is available here.