T. Boone Pickens sues Lehman Bros. for $59.9M

[seemslikeadream]

http://www.bizjournals.com/dallas/stories/2008/10/06/daily53.html

Texas billionaire T. Boone Pickens has filed suit against Lehman Brothers Commodity Services Inc. in New York Supreme Court, claiming the investment bank owes him and four of his energy funds $59.9 million.

In the lawsuit, attorneys for Pickens claim the Texas billionaire and his BP Energy, BP Equity, BP International and BP Master energy funds entered into financing instruments known as international swaps and derivatives association master agreements with Lehman’s.

As part of those agreements, Pickens alleges there was a master agreement stipulating that in the event of a party defaulting the other party had a certain time frame in which they could designate a day for the parties to resolve all outstanding transactions.

This provision kicked in automatically when Lehman Brothers filed for Chapter 11 bankruptcy protection on Sept. 15, Pickens alleges in court documents.

In the suit, Pickens asserts this provision has yet to be met with Lehman's failing to pay Pickens and his energy funds the sums that are due.

[hay rick]

1. Pickens knows about welshing on a bet.

Crocodile tears.

[Trekologer]

2. I guess no one told T.Boone

INVESTMENTS NOT GUARANTEED. MAY LOOSE VALUE.

[WhaTHellsgoingonhere]

3. Does that mean the bailout plan is now $1.06 trillion?

Texas-Oil-Billionaire

[SmileyRose]

4. canibalism?

I admit this stuff is so far over my head that I don't have a prayer to understand it all. The only part I understand is that my boss is so scared he's talking about selling everything he owns to keep the business floating until the credit market works itself out. He wife said he's cried himself to sleep more than one night in the last weeks because he knows he's going to have to let some of his people go sooner rather than later.

[karynnj]

8. Your boss, not Pickens is who we need to feel sorry for

I hope the credit market stabalizes in time for him.

[CountAllVotes]

5. can't get blood out of a turnip

Lehman Bros. filed for bankruptcy which is where they still stand.

You lost $59.9 million it looks like to me T. Boone.

[Newshues]

6. Bnkrptcy court does not prtect derivative netting transactions n/t

[specimenfred1984]

7. Poor repuke fckers are all going after each other now

Couldn't happen to a nicer group of people.