(Reuters) – A judge in Delaware on Friday ordered Loews Corp. to pay $ 690 million to former Boardwalk Pipeline Partners LP investors who claimed they were neglected in a purchase in July 2018.
Loews said they planned to appeal the decision by Vice. Chancellor Travis Laster of the Delaware Chancery Court, who ruled in a $ 1.5 billion class action lawsuit.
In a 194-page decision, Judge Laster ruled that New York-based Loews, who controlled Boardwalk's general partner, violated natural gas. . the pipeline company's partnership agreement to exercise its right to buy out the limited partners.
Judge Laster said the purchase underestimated the limited partners' share by 31
"The prospect was a deliberate effort to achieve the result that the general partner wanted," Judge Laster wrote. "(It) did not reflect an attempt in good faith to discern facts and apply professional judgment."
Loew's other activities include the insurance company CNA, Diamond Offshore Drilling and Loews Hotels. It made Boardwalk public in 2005.
Loews CEO James Tisch said in a statement that the company believed that Laster "misinterpreted both the actual basis of the case and the applicable law."