Settlement gaining board seats and reimbursement of litigation expenses from Delcath Systems, Inc. following victory in emergency appeal for Laddcap Value Partners

Case Abstract
After the client lost an injunction proceeding in federal district court, Lowey Dannenberg was retained and five days later won an emergency appeal in the Second Circuit leading to a favorable setllement.

Client
Laddcap Value Partners.

Case Name
Delcath Systems, Inc. v Laddcap Value Partners, 2006 WL 27239981 (2d Cir. Sept. 25, 2006)

Result
Settlement gaining board seats and reimbursement of litigation expenses from Delcath Systems, Inc. following victory in emergency appeal.

Case Details
On September 25, 2006, Richard Cohen and Todd Garber helped Laddcap Value Partners win an emergency appeal, reversing a federal district court’s order disqualifying the votes Laddcap had solicited to replace the board of directors of Delcath Systems, Inc. Prior to Lowey Dannenberg’s involvement in the case, on September 20, 2006, Laddcap, which was Delcath’s largest stockholder, had been enjoined by the district court from submitting stockholder consents it had solicited on the grounds of unproven claimed violations of federal securities law. After losing an injunction proceeding in the district court on September 20, 2006 and with the election scheduled to close on September 25, 2006, Laddcap hired Lowey Dannenberg to prosecute an emergency appeal, which was won on September 25, 2006, the last day of the election period. Shortly thereafter, the case was settled with Laddcap gaining seats on the board, reimbursement of expenses, and other benefits.