Since
May, we've followed Solus v. Perry, a New
York County Supreme Court case originally filed in July of 2012.
The case centered around whether Perry entered into a binding oral
agreement to sell Solus a participation interest in a $1.6 billion
claim against Bernie Madoff's bankruptcy estate. The parties
agreed on a price and some other material terms during a phone call
in April of 2012 but never signed a written agreement. In its
pleadings, Perry claimed that because its trader noted that the
trade was "subject to documentation," no agreement was
ever formed.
Last Monday, the parties filed a stipulation discontinuing the case with
prejudice.
During oral arguments on the parties' summary judgment
motions last year, Judge Saliann Scarpulla noted that several
issues with meaningful implications for the distressed trading
market would need to be resolved before summary judgment could be
entered, including: (1) whether there is an industry custom
regarding the
