NY Times – A New York State appeals court dismissed a lawsuit brought by hedge funds against Porsche on Thursday, handing the German automaker a big victory in the long-running legal battle over its attempted takeover of Volkswagen.<\/p>\n
The Appellate Division decided that the hedge funds lacked jurisdiction to bring a lawsuit in a New York State court, ruling that there was an inadequate connection between New York and the facts of the case. The opinion reverses a trial court ruling last summer that had upheld the action. The decision also mirrors a federal court ruling two years ago that rejected the hedge funds\u2019 claim.<\/p>\n
\u201cThe only alleged connections between the action and New York are the phone calls between plaintiffs in New York and a representative of defendant in Germany, and the e-mails sent to plaintiffs in New York but generally disseminated to parties elsewhere,\u201d said the brief opinion. \u201cWe find that these connections failed to create a substantial nexus with New York, given that the events of the underlying transaction otherwise occurred entirely in a foreign jurisdiction.\u201d<\/p>\n