Laidlaw and Company is a well-respected investment firm that has helped hundreds of customers around the world achieve financial success. However, they’ve recently suffered a bit of a black eye to their reputation when Relmada Therapeutics, a former client, sued them for breach of contract.
They are specifically suing the principals Matthew Eitner and James Ahern for failing to provide them with high-quality financial information.
What Happened Here?
Relmada is claiming that Laidlaw and Company, and by extension Eitner and Ahern, provided them with false or misleading information in 2015 that led to a bad investment. They are demanding compensation for these losses, saying that Eitner and Ahern failed to uphold their end of the contract and that they broke their confidentiality.
Even more surprising, Relmada has literally filed a restraining order against the company and its principals, demanding that they stay off of their premises until the case is over. Relmada believes that this is a necessary measure to protect themselves against “further harm” from Laidlaw.
How Has Laidlaw Responded?
This lawsuit continues to grow more complex, as Laidlaw releases information regarding their initial report to Relmada. It is getting hard to identify who said what and a lot of the testimony from both sides is becoming “he said, she said” statements that make it difficult to differentiate who is in the wrong.
The unfortunate animosity between the two have also complicated the case. Rather than trying to come to any agreement, both are pursuing the case to its furthest extent. As we come up on nearly a year since the initial investment advice was given, there doesn’t seem to be any end in sight.
Worst Case Scenarios
For Laidlaw, the worst case scenario in this case would be losing and being forced to pay compensation to Relmada. While they likely have insurance to cover this kind of loss, it might not be enough in this case. For Relmada, the worst case scenario would be getting forced to not only absorb their losses, but to pay Laidlaw’s legal fees.
This nasty case seems to only get worse as the months pass. More bitter renunciations and accusations come out every day and it is getting hard to imagine anyone coming out of this happy with the result.