The economic loss rule provides a limitation on damages in cases alleging both breach of contract and certain other causes of action sounding in tort, by precluding a party’s recovery of damages when the only economic loss is the subject matter of the contract. In operation, the rule “restricts contracting parties to contractual remedies for those economic losses associated with the relationship, even when the breach might reasonably be viewed as a consequence of a contracting party’s negligence.” This article explores this rule and when it applies — as well as the exceptions to it.
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VC Advisor Carmelo Gordian Departs A&O Shearman for Holland & Knight
Veteran venture capital lawyer Carmelo Gordian, a longtime Austin-based specialist in emerging companies, has signed on as a partner with Holland & Knight, leaving A&O Shearman after a nearly eight-year run.
Litigation Roundup: Google Wins Fee Battle Over ‘Frivolous’ Patent Suit
In this edition of Litigation Roundup, a businessman faces sexual assault allegations, a Texas attorney is ordered to pay fees to Google, and one of the plaintiffs in the private-equity dentistry lawsuit in Dallas was found in contempt for violating the temporary injunction.
Warm Texas Welcome: Arizona Firm Joins Forces With San Antonio’s Schmoyer Reinhard
Phoenix-based Fennemore is entering the Texas legal market by combining with a San Antonio-based litigation and labor and employment firm. The move to tie up with Schmoyer Reinhard gives Fennemore its first major presence in the Lone Star State. Home to some of the world’s largest public and private companies, Texas offers a mix of practice work that aligns with the firm’s existing client base, Fennemore announced Monday in a news release.
Mike Androvett Joins Texas Lawbook Foundation Board
The Texas Lawbook Foundation, a nonprofit that supports news coverage of pro bono, public service and diversity in the legal profession, announced Monday that longtime Texas legal media executive Mike Androvett is joining the foundation’s board of directors. Derek Lipscombe, managing counsel at Toyota North America and co-chair of the Lawbook Foundation, said Androvett “brings much needed professional expertise that will help promote the extraordinary efforts of Lawbook Foundation and pro bono, public service and diversity reporter Krista Torralva.”
Targa Buys Stakeholder Midstream for $1.25B
Targa Resources said Monday that it agreed to acquire Stakeholder Midstream for $1.25 billion in cash, expanding the Houston midstream services provider’s footprint in the Permian Basin. Latham & Watkins represented Targa with a national team led by Houston partners Ryan Maierson and James Garrett. Willkie and Clifford Chance advised Stakeholder.
Willkie’s Texas-based team was led by Houston partner Sarah McLean. Gerald Shrader has been Targa’s general counsel since December 2023.
Paul Hastings Adds Two Litigators from Winston & Strawn
Stephanie D. Clouston and Matthew Durfee have joined Paul Hastings’ Dallas office as the firm continues its Texas expansion.
Harvard to Houston: V&E’s Dealmaker Powerhouse
Lande Spottswood is one of the country’s top dealmakers, hired by public companies and private capital alike for her expertise with complex transactions.
Her path to the transactional world wasn’t linear. A onetime biochemical sciences major planning for an MD/PhD, Spottswood realized lab life was not for her and pivoted to Harvard Law School, where a course on Delaware takeover doctrine (and the drama of corporate raiders and contested deals) hooked her on M&A.
The Texas Lawbook caught up with the Vinson & Elkins partner to talk about these topics, Texas transaction trends, including the ongoing consolidation in energy and more, as well as how important it is to enjoy a Friday afternoon margarita on the porch. At least when the Houston weather will actually allow you to do so.
Holiday Hangover Hits the Deal Table
The abbreviated Thanksgiving week that ended Nov. 29 saw six deals reported to the CDT Roundup with a total reported value of $4.1 billion.
We’d compare it to last week’s 20 deals for $5 billion, but there’s really no comparison. It’s easy to hide value in 14 M&A/Funding transactions. With only two M&A deals reported on the week, it’s hard to hide anything.
It was the lowest number of M&A transactions since mid-June 2020. And there’s no pandemic to blame it on.
That and more in this edition of CDT Roundup.
Delaware Judge Clears Citgo Parent Sale, Wrapping Up Venezuela Debt Fight
A federal court in Delaware last week approved an end to the Venezuelan Citgo Petroleum saga, authorizing the sale of the company’s parent PDVSA to an affiliate of Elliott Investment Management for $5.9 billion.