Texas billionaire Sam Wyly has suffered another setback in his long-running battle to obtain documents related to the Computer Associates securities class action. (The 10b-5 Daily has posted about the litigation over the years.) In a decision issued last week, the New York Court of Appeals found that Wyly, as an “absent” class member in the Computer Associates case, does not enjoy a presumptive right of access to the files held by plaintiffs’ counsel upon the termination of representation. Moreover, in his federal court challenge of the Computer Associates settlement, Wyly had failed to demonstrate a “legitimate need” for these files and it was appropriate for the state court to defer to the federal court’s determination on this issue.
The New York Law Journal has an article on the decision. In the article, Wyly’s counsel notes that his client’s federal court challenge of the Computer Associates settlement is currently on appeal and Wyly “will pursue the relevant documents there.” Stay tuned.