Family-owned chemical company Huntsman Corp will proceed to trial against Credit Suisse and Deutsche Bank after a US judge ruled the majority of claims against them should stand. Huntsman is claiming multi-billion dollar damages over the failed mergers with rivals Basell and Hexion last year.
Following a day-long hearing, Judge Fred Edwards determined that Huntsman will proceed to trial on the following claims against the banks: common law fraud in connection with the Basell agreement, tortious interference with Huntsman’s merger agreement with Hexion, negligent misrepresentation, and civil conspiracy.
The court rejected the banks’ argument that Huntsman could not present evidence concerning the banks’ multi-billion dollar mark-to-market losses, or unjust enrichment as a remedy for fraud and tortious interference.
However, the judge granted the banks’ request to dismiss claims of statutory fraud and interference with a previous bid for Huntsman. The trial is set for on 8 June 2009.
“Huntsman has always believed that our cause is just, and we now look forward to presenting our claims to the jury,” said Huntsman president and CEO, Peter Huntsman, who was present in the courtroom.