Case Caption: In Re Global Crossing Ltd. Securities & "ERISA" Litigation
Docket Number: No. 1:02-md-01472
Court: Southern District of New York
Judge: Honorable Gerard E Lynch.
Plaintiffs: Donald Yancy; Jagdeo Ramkissoon
Defendants: Global Crossing, Ltd.; Frontier Corporation/Global Crossing Change of Control Severance Plan
Overview: KTMC served as co-lead counsel in this novel, complex action alleging that directors and officers of Global Crossing, Ltd. (Global Crossing), a former high-flier of the late 1990’s tech stock boom, breached their fiduciary duties under ERISA to certain company-provided 401(k) plans and their participants.
These breaches arose from the plans’ alleged imprudent investment in Global Crossing stock during a time when defendants knew, or should have known, that the company was facing imminent bankruptcy. A settlement of plaintiffs’ claims in November 2004 restored $79 million to the plans and their participants—the largest recovery in a company stock ERISA class action at that time.