4 ms·

This is following the suit filed by $96MM investor Partner Fund Management last month. http://www.businessinsider.com/partner-fund-management-sues-theranos-201

by dxhdr 10y ago

This is following the suit filed by $96MM investor Partner Fund Management last month. http://www.businessinsider.com/partner-fund-management-sues-theranos-2016-10 http://www.businessinsider.com/partner-fund-management-sues-... And Theranos' announcement of shutting down their labs and firing 40% of their staff. https://news.theranos.com/2016/10/05/an-open-letter-elizabeth-holmes/ https://news.theranos.com/2016/10/05/an-open-letter-elizabet...

JumpCrisscross 10y ago
Yet David Boies, a lawyer and Theranos Director, continues to defend the company and its leadership [1]. [1] http://www.bloomberg.com/news/articles/2016-04-19/theranos-director-defends-ceo-holmes-says-investors-have-faith http://www.bloomberg.com/news/articles/2016-04-19/theranos-d...
- extesy 10y ago
  Your article is from April, while the parent comment's articles are much more recent (October).
- deleted 10y ago
  [deleted]
- moogly 10y ago
  That's the same Boies who was Oracle's lead attorney during Oracle v. Google, right?
  - sseveran 10y ago
    and Microsoft vs US and Gore vs Bush
    - Joeboy 10y ago
      and SCO vs IBM.
      - danielweber 10y ago
        Yes, this guy is a world-class lawyer. He's not always on the same side as me (or you), but he's a damn fine mind in the courtroom.
    - bhickey 10y ago
      He also joined with Theodore Olson, opposing counsel in Bush v Gore, to argue Hollingsworth v Perry.
- rayiner 10y ago
  His firm represents Theranos. Although, see: http://mobile.nytimes.com/2016/02/03/business/dealbook/david-boiess-dual-roles-at-theranos-set-up-conflict.amp.html http://mobile.nytimes.com/2016/02/03/business/dealbook/david.... EDIT: what the hell Google, stop hijacking links.
  - JumpCrisscross 10y ago
    He is still a Director. That entails a fiduciary duty to Theranos' investors. "But management pays me to kiss their asses" isn't a valid excuse.
    - rayiner 10y ago
      Right. You expect him to paint a rosy picture but he's walking a very fine line.
tedmiston 10y ago
Just curious, does anyone know if something like liquidation preferences are relevant when the money flowing out is due to lawsuits?
- mikeryan 10y ago
  It's two different things. By definition liquidation preferences only happen in liquidation events and investors are generally "owners" not "creditors" so they only get what's left after creditors are paid. (I'm assuming this is ending in bankruptcy for Theranos - which may not be fair)

by dxhdr 10y ago

JumpCrisscross 10y ago

Yet David Boies, a lawyer and Theranos Director, continues to defend the company and its leadership [1]. [1] http://www.bloomberg.com/news/articles/2016-04-19/theranos-director-defends-ceo-holmes-says-investors-have-faith http://www.bloomberg.com/news/articles/2016-04-19/theranos-d...

extesy 10y ago
Your article is from April, while the parent comment's articles are much more recent (October).
deleted 10y ago
[deleted]
moogly 10y ago
That's the same Boies who was Oracle's lead attorney during Oracle v. Google, right?
- sseveran 10y ago
  and Microsoft vs US and Gore vs Bush
  - Joeboy 10y ago
    and SCO vs IBM.
    - danielweber 10y ago
      Yes, this guy is a world-class lawyer. He's not always on the same side as me (or you), but he's a damn fine mind in the courtroom.
  - bhickey 10y ago
    He also joined with Theodore Olson, opposing counsel in Bush v Gore, to argue Hollingsworth v Perry.
rayiner 10y ago
His firm represents Theranos. Although, see: http://mobile.nytimes.com/2016/02/03/business/dealbook/david-boiess-dual-roles-at-theranos-set-up-conflict.amp.html http://mobile.nytimes.com/2016/02/03/business/dealbook/david.... EDIT: what the hell Google, stop hijacking links.
- JumpCrisscross 10y ago
  He is still a Director. That entails a fiduciary duty to Theranos' investors. "But management pays me to kiss their asses" isn't a valid excuse.
  - rayiner 10y ago
    Right. You expect him to paint a rosy picture but he's walking a very fine line.

tedmiston 10y ago

Just curious, does anyone know if something like liquidation preferences are relevant when the money flowing out is due to lawsuits?

mikeryan 10y ago
It's two different things. By definition liquidation preferences only happen in liquidation events and investors are generally "owners" not "creditors" so they only get what's left after creditors are paid. (I'm assuming this is ending in bankruptcy for Theranos - which may not be fair)