After laying the groundwork for a liquefied natural gas (LNG) venture valued at $500-600 million, our clients were presented with a written agreement that drastically reduced their percentage of ownership in the newly formed company. Further research revealed that a complex network of entities in Texas and Delaware—all owned by the defendants—had been created to control the project, effectively cutting our clients out.
Our clients were presented with a written agreement that drastically reduced their percentage of ownership in the newly formed company.
Through extensive research, we were able to show numerous similarities between the original venture and the defendants’ “new” organization, including virtually identical business plans, marketing materials, and substantive work. We sought damages of $168 million, alleging breach of contract, promissory estoppel, quantum meruit, fraud/fraudulent concealment, negligent misrepresentation, breach of fiduciary duty, usurpation/diversion of corporate opportunity, conversion, civil conspiracy, and implied partnership. The case quickly settled for a substantial transfer of stock that more than made our clients whole.