Erber v. The Williams Companies, Inc.
Status: Ongoing Case
On August 31, 2016, Labaton Sucharow, as co-lead counsel, filed a Consolidated Complaint against The Williams Companies, Inc., one of the leading energy infrastructure companies in the United States.
The complaint alleges that Williams Partners L.P., its parent corporation, The Williams Companies, Inc., and other affiliated individuals and entity defrauded the investors by announcing a merger of Williams Partners with its parent corporation, without informing the market that the parent corporation was also, at the same time, in merger negotiations with an unrelated entity that would, if fruitious, require the cancellation of the merger with Williams Partners. Since interests in Williams Partners traded with a merger premium once the merger between Williams Partners and its parent was announced, investors during the class period suffered losses when the value of the Williams Partners interests declined sharply upon the disclosure of the other negotiations.
On March 8, 2017, the court granted the defendants’ motion to dismiss. On April 7, 2017, the lead plaintiff filed a notice of appeal.
The case is Erber v. The Williams Companies, Inc., No. 16-CV-0131 (N.D. Okl.). The lead plaintiff is the Employees’ Retirement System of the State of Rhode Island. The defendants are The Williams Companies, Inc.; Williams Partners L.P.; Williams Partners GP LLC; Alan S. Armstrong; and Donald R. Chappel.