Firm Obtains Net Recovery for Client of $84 Million in Ernst & Young Litigation

In January 2005, Andrews Kurth tried Branch v. Ernst & Young on behalf of the Chapter 7 bankruptcy trustee of Bank of New England Corporation (“BNEC”) before a jury in federal district court in Boston. The negligence action against BNEC’s former auditors sought recovery pursuant to the developing “deepening insolvency” doctrine. In mid-trial, the case was settled with net fees of approximately $70 million. The same trial team previously represented the BNEC Trustee in litigation against the Federal Deposit Insurance Corporation that resulted in a $140 million recovery.