BECHERER v. MERRILL LYNCH, PIERCE, FENNER & SMITH

No. 96-1669.

127 F.3d 478 (1997)

Richard C. BECHERER, et al., Plaintiffs-Appellants, v. MERRILL LYNCH, PIERCE, FENNER & SMITH, INC., et al. Defendants-Appellees.

United States Court of Appeals, Sixth Circuit.

Decided September 22, 1997.


Attorney(s) appearing for the Case

Bruce E. Gerstein (briefed), Garwin, Bronzaft, Gerstein & Fisher, New York City, John P. Zuccarini and Elwood S. Simon (briefed), Elwood S. Simon & Associates, Birmingham, MI, for Plaintiff-Appellant.

David C. Andrew (briefed), Baker, Donelson, Bearman & Caldwell, Memphis, TN, Dennis K. Egan (briefed), Barbara L. McQuade, Butzel Long, Detroit, MI, for Defendant-Appellee Merrill Lynch, Pierce, Fenner and Smith, Inc, Martin Cicco.

Jon B. Gandelot, Grosse Pointe Woods, MI, Steve W. Gaskins (briefed), Cosgrove, Flynn & Gaskins, Minneapolis, MN, for Defendants-Appellees Can-American Corporation, Can-American Realty Corporation, Garrett G. Carlson, Graham C. Count, Arni Thorsteinson.

Mary C. Yeager (briefed), Faegre & Benson, Minneapolis, MN, Jon B. Gandelot, Grosse Pointe Woods, MI, Steve W. Gaskins (briefed), Cosgrove, Flynn & Gaskins, Minneapolis, MN, for Defendant-Appellee Shelter Seagate Corp.

Stephen F. Wasinger, Honigman, Miller, Schwartz & Cohn, Detroit, MI, for Defendant-Appellee Laventhol & Horwath.

Lawrence G. Campbell, Dickinson, Wright, Moon, Van Dusen & Freeman, Detroit, MI, Robert P. Hurlbert, Dickinson, Wright, Moon, Van Dusen & Freeman, Chicago, IL, for Defendant-Appellee M.A. Mortenson Co.

James R. Case, Kerr, Russell & Weber, Detroit, MI, Melissa M. Horne, Winograd, Shine, Providence, RI, for Defendant-Appellee Winsor/Faricy Architects, Inc.

Laura S. Stafford, Walton & Stafford, Detroit, MI, Jonathan T. Walton, Jr., Detroit, MI, for Defendant-Appellee Trustbank Mortgage Center, Incorporated.

Frank W. Brochert, Plunkett & Cooney, Detroit, MI, Timothy D. Wittlinger, Hill, Lewis, Adams, Goodrich & Tait, Detroit, MI, Lawrence G. Campbell, Dickinson, Wright, Moon, Van Dusen & Freeman, Detroit, MI, for Defendant-Appellee Midwest Title Guarantee Company of Florida.

Dennis K. Egan, Barbara L. McQuade, Butzel Long, Detroit, MI, for Defendant-Appellee Frank Lavin.

Before: MARTIN, Chief Judge; RYAN and BATCHELDER, Circuit Judges.


OPINION

BOYCE F. MARTIN, JR., Chief Judge.

On August 21, 1989, six plaintiffs, led by Richard C. Becherer, filed a complaint as a putative class action on behalf of approximately four hundred investors in a non-residential condominium hotel known as The Registry Hotel in Naples, Florida. The complaint alleged, among other things, that SSG,1 which developed the hotel, and Merrill Lynch, Pierce, Fenner & Smith, the underwriters...

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