UBS Sues Highland Over CDO, Again

Jun 30 2010 | 1:50pm ET

As regulators and others rush to the courthouse to sue and be sued over collateralized debt obligations, UBS is back, refilling its lawsuit against hedge fund Highland Capital Management.

UBS’ move comes almost five months after a New York state court  dismissed one of three claims against Highland in a lawsuit filed last February. The appeals court dropped the allegation that the hedge fund had a duty to indemnify the bank against losses suffered in a CDO restructuring two years ago.

UBS alleges that Highland “fraudulently induced” it to restructure the CDO, providing “false, incomplete and otherwise misleading” information.

“We are disappointed that UBS has chosen to refile its baseless lawsuit against Highland Capital and the funds given the court’s previous dismissal of the suit’s central claim,” Highland spokeswoman Nina Devlin said.

In Depth

Q&A: Biotech Investing with Crossover Fund RA Capital

Sep 15 2015 | 5:40pm ET

Boston-based RA Capital Management is an intriguing mix of sophisticated life sciences...


Citadel Supports Manhattan Real Estate With Record Deal

Sep 16 2015 | 3:04pm ET

Never count hedge funds out of a big property deal. The Manhattan real estate market...

Guest Contributor

Hedge Fund Marketing To Independent RIA Firms

Sep 30 2015 | 1:56pm ET

In this contributed article, Bruce Frumerman of Frumerman & Nemeth Inc. explains...


Editor's Note

Upcoming Events