XERION PARTNERS I v. RESURGENCE ASSET MANAGEMENT

Nos. 06 Civ. 2434(DC), 06 Civ. 2520(DC).

474 F.Supp.2d 505 (2007)

XERION PARTNERS I LLC, Xerion Partners II Master Fund Limited, Cohanzick Credit Opportunities Master Fund Ltd., Dalton Dalton Investments, LLC, and SOF Investments, L.P., Plaintiffs, v. RESURGENCE ASSET MANAGEMENT, LLC, Jay Carothers, Mark Scott, Coleen Colreavy, Robert Webber, Byron Haney, and Deloitte & Touche USA LLP, Defendants. Bay Harbour Management LLC, Plaintiff, v. Jay Carothers, Mark Scott, Coleen Colreavy, Robert Webber, Deloitte & Touche USA LLP, and "John Doe" "1"-"20," Defendants.

United States District Court, S.D. New York.

February 22, 2007.


Attorney(s) appearing for the Case

Arnold & Itkin, LLP, by Jason Aaron Itkin, Esq., Camilo Cardozo, Esq., Houston, TX, Dreier LLP, by Marc S. Deier, Esq., Jeffrey A. Mitchell, Esq., New York, NY, for Xerion Partner I, L.L.C., Xerion Partners II Master Fund Limited, Cohanzick Credit Opportunities Master Fund, Ltd., Dalton Investments, L.L.C., SOF Investments, L.P.

J.L. Saffer, P.C., by Jennifer Lauren Saffer, Esq., Scott A. Lucas, Esq., New York, NY, for Bay Harbour Management LLC.

Weil, Gotshal & Manges LLP (N.Y.C), by Joseph S. Allerhand, Esq., John A. Neuwirth, Esq., Bradley R. Aronstam, Esq., Michele C. Lamberti, Esq., New York, NY, for Resurgence Asset Management, L.L.C.

Cravath, Swaine & Moore LLP, by Robert H. Baron, Esq., Jeffrey B. Korn, Esq., New York, NY, for Jay Carothers, Mark Scott, Coleen Colreavy, and Bruce Webber.

Hughes Hubbard & Reed LLP, by William R. Maguire, Esq., Sarah Loomis Cave, Esq., New York, NY, for Deloitte & Touche USA LLP.


OPINION

CHIN, District Judge.

These related cases arise from a private placement of debt securities issued by furniture retailer Levitz Home Furnishings, Inc. ("LHFI") in November 2004. Plaintiffs Xerion Partners I LLC, Xerion Partners II Master Fund Limited, Cohanzick Credit Opportunities Master Fund Ltd., Dalton Investments, LLC, and SOF Investments, L.P. (collectively "Xerion") and plaintiff Bay Harbour. Management LLC ("Bay Harbour") bring these...

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