Frank J. Fosbre, Jr. v. Las Vegas Sands Corporation, Sheldon G. Adelson, and William Weidner

In this securities class action, District Judge Andrew P. Gordon granted Defendants’ motion for summary judgment in January 2017, ruling that, among other things, Plaintiffs and their expert did not establish loss causation. Plaintiffs claimed that Defendants had artificially inflated the price of Las Vegas Sands Corporation stock by issuing a number of allegedly false and misleading statements during the Class Period. In support of their claims, Plaintiffs filed reports by two experts, covering various subjects including loss causation and damages. Plaintiffs argued that they could demonstrate loss causation through their experts’ opinions.

Compass Lexecon affiliates Professors Allen Ferrell and Ken Lehn filed reports responding to Plaintiffs’ experts’ conclusions. They concluded that Plaintiffs’ experts’ opinions, including their opinions on loss causation and damages, were fundamentally flawed and unreliable. The Court agreed, and granted summary judgment for Defendants, holding Plaintiffs failed to establish loss causation.

We worked closely with Las Vegas Sands’ counsel Walter Carlson, Jim Ducayet, Courtney Hoffman, Larry Fogel and Zac Madonia of Sidley Austin LLP. Professors Ferrell and Lehn were supported by teams from Compass Lexecon led by Mike Keable and Rajiv Gokhale that included Anne Marie Yale, Avisheh Mohsenin, Jonathan Williams, Sam Hollander, Elizabeth Stone and Heather Freilich-Farby