Jury orders Morgan Stanley to pay Perelman $850M in punitive damages

[JURIST] Following up on a story previously reported on JURIST's Paper Chase, a jury in West Palm Beach Florida has ordered investment giant Morgan Stanley to pay $850 million in punitive damages to billionaire investor Ronald Perelman [Forbes profile]. On Monday, the jury ordered Morgan Stanley to pay Perelman $604 million in actual damages for misrepresenting a client’s financial status to Perelman in the 1998 sale of his controlling stake in Coleman Co. to Sunbeam Corporation. A press release on the company’s website states it will appeal and that the damages award "is legally deficient and a byproduct of the unprecedented and highly prejudicial rulings imposed by the judge throughout the trial". Reuters has more.



 

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