Sarmad M.
Khojasteh

Represented a private equity firm in litigation defending against claims that it breached the terms of a $750 million secured loan facility.

Represented a private equity firm in litigation pursuing breach of fiduciary duty and fraud claims against a financial advisor resulting from undisclosed conflicts of interest.

Represented a private equity firm in an internal investigation arising from allegations that a current employee misappropriated confidential information from his prior employer.

Represented a portfolio company of private equity firm in an arbitration defending against a breach of contract claim.

Represented a portfolio company of private equity firm in an antitrust investigation conducted by the Office of the New York Attorney General.

Represented a portfolio company of private equity firm in its malpractice claim against two AmLaw 100 law firms to recover $300 million in damages caused by the firms’ negligence in negotiating a renewable energy M&A transaction.

Represented the former CEO of US operations of a London-based hedge fund in an international arbitration defending against a breach of contract claim.

Represented a former CEO and shareholder of a credit and debit payment solution and services company in multiple lawsuits against controlling noteholders and the board of directors arising from the board’s pursuit of a debt-for-equity exchange at an unfairly low equity cash out price.

Represented cannabis cultivation experts and investors in a dispute against their joint venture partner, a subsidiary of a large multistate marijuana operator, concerning the ownership of a medical marijuana license. After a two-week arbitration before a panel of three arbitrators, the arbitration panel found that the joint venture partner breached its fiduciary duties and unjustly enriched itself, and that it was liable for over $15 million in damages.

Represented MBIA in a decade-long put-back action against Credit Suisse in which MBIA sought to recover for breaches of representations and warranties related to RMBS insured by MBIA. After a two-week bench trial in New York State Supreme Court, the court found that MBIA had convincingly proved that Credit Suisse breached its representations and warranties, and that Credit Suisse was liable for over $600 million in damages.

Represented Federal Housing Finance Agency, as conservator for Fannie Mae and Freddie Mac, in actions in federal and state courts against numerous financial institutions and individuals. The lawsuits sought rescission or damages from the banks for, among other things, their misrepresentations concerning pools of mortgage loans that underlie residential mortgage-backed securities the banks issued, securitized, and sold to Fannie Mae and Freddie Mac. After prevailing on critical pre-trial issues, FHFA settled the actions for over $2 billion, including a $1.25 billion settlement with Morgan Stanley.

Represented MBIA, one of the world’s largest monoline insurers, in litigation brought by 18 of the world’s largest banks seeking to overturn MBIA’s corporate restructuring which, with the approval of the New York Department of Insurance, established a separate company for MBIA’s municipal bond insurance business. After a several-week evidentiary proceeding, the New York Supreme Court upheld MBIA’s restructuring, and MBIA received $1.7 billion in cash and a $500 million line of credit for its municipal bond insurance business.

Successful representation of a financial institution in an investigation by the SEC into allegations of insider trading.

Successful bench trial in federal court on behalf of an individual lender against a real estate developer, resulting in an award of approximately $13 million.

Represented a mining and metal recovery holding company, the Renco Group, in defending thousands of individual suits brought by Peruvian plaintiffs, including by developing and asserting defenses based on the doctrine of international comity and Peru’s assertions of sovereignty.

Represented the Related Companies in several disputes arising from the Hudson Yards development project.

Represented a leading innovator and developer of bank-owned life insurance policies in litigation pursuing misappropriation of trade secret and breach of contract claims against a large competitor.