Plaintiffs in this case alleged that Moody’s Investors Service (Moody’s) ratings of a structured investment vehicle were false and without a reasonable basis. Compass Lexecon expert Professor Bradford Cornell submitted an expert report and testified at deposition on behalf of Moody’s. He found that Moody’s opinions were based on a reasoned analysis and the methods used by Moody’s were supported by accepted industry practices and supported in the academic literature. Professor Cornell also rebutted claims by Plaintiffs’ expert that there were deficiencies in Moody’s approach. On April 26, 2013, the case settled very favorably just before trial causing Moody’s stock price to jump 8.3% according to the Wall Street Journal. Professor Cornell was supported by a team in Compass Lexecon’s Chicago office including Jerry Lumer, Vince Warther, Donnie Hong, and many others. We worked with Joshua Rubins and others at Satterlee Stephens Burke & Burke LLP and Joel Cohen and others at Gibson, Dunn & Crutcher who represented Moody’s Investors Service.
- Financial Institutions & Products
- Gerald B. Lumer