Enforceability of Tail Fee Provision in Engagement Letter (Underwriting and Corporate Securities)

In a recent breach of contract action involving the failure to pay an investment banking tail fee, the New York Supreme Court Appellate Division unanimously affirmed the order of the lower court granting a motion for summary judgment in favor of StormHarbour Securities LP (“StormHarbour”) against IIG Trade Opportunities Fund N.V. (the “Fund”) requiring the Fund to pay a $3,410,000 tail fee…

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