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Case Status:    SETTLED
On or around 10/09/2002 (Date of order of final judgment)

Filing Date: September 18, 1996

The action was initially brought pursuant to Rules 23(a), 23(b)(1), 23(b)(2), and 23(b)(3) of the Federal Rules of Civil Procedure, on behalf of themselves and all of the other Limited Partners, exclusive of the Defendants, members of their immediate families, and the legal representatives, heirs, successors or assigns of the Defendants.

In 1996, the general partners of four Brauvin partnerships owing ninety-four percent of the assets proposed a liquidation strategy to the approximately 10,000 investors in the partnerships. The partnerships sought the majority consent by vote of each of the partnerships through a public proxy to sell the assets to an affiliate at 100% of the appraised value of the assets. As consequence of this transaction a complaint was filed alleging self-dealing transaction. The complaint alleged that Defendants failed and refused to adequately solicit or consider alternative proposals for the sale of the Partnerships' assets to a third party in an arm's-length transaction. Instead, that they have agreed to sell the Partnerships to, or effect a merger with, Brauvin Real Estate Funds, LLC, a Delaware limited liability company which was recently formed by the Defendants for the specific purpose of acquiring the assets of the limited partnerships. The complaint further alleged that these transactions would result in the Limited Partners receiving a grossly inadequate price per unit. By so doing, the Defendants have breached their fiduciary duty, which they owe to the Limited Partners by virtue of their position as General Partners.

According to the closing Order, dated July 19, 2002 from U.S. District Judge Joan B. Gottschall of the Northern District of Illinois, Eastern Division, the case was settled in a manner that resulted in an affiliate of the partnerships acquiring the assets. Further, as part of the settlement, the Brauvin defendants in the case were reimbursed for all of their litigation fees and expenses by the plaintiff class.

COMPANY INFORMATION:

Sector: Services
Industry: Real Estate Operations
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol:
Company Market: Privately Traded
Market Status: Privately Held

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: N.D. Illinois
DOCKET #: 96-CV-6025
JUDGE: Hon. Joan B. Gottschall
DATE FILED: 09/18/1996
CLASS PERIOD START: 08/23/1996
CLASS PERIOD END: 09/18/1996
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. The Mills Law Firm
    145 Marina Boulevard, The Mills Law Firm, CA 94901
    415.455.1320 415.455.1320 · info@millslawfirm.com
No Document Title Filing Date
COURT: N.D. Illinois
DOCKET #: 96-CV-6025
JUDGE: Hon. Joan B. Gottschall
DATE FILED: 03/28/1997
CLASS PERIOD START: 08/23/1996
CLASS PERIOD END: 09/18/1996
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. The Mills Law Firm
    145 Marina Boulevard, The Mills Law Firm, CA 94901
    415.455.1320 415.455.1320 · info@millslawfirm.com
No Document Title Filing Date