2 World Travel Inc. Founders Let Out Of Stock Buyback Suit
Litigation attorney Lynn Calkins was quoted in a Law360 article about a Pennsylvania federal court decision that allowed two of the three founders of World Travel Inc. to escape class action claims brought by former employees who said their owners overpaid for a $200 million stock buyback from the company's founders and saddled the employee ownership plan with "tens of millions" of dollars in debt. The judge found that the class had not shown that the two founders – James R. Wells and Richard G. Wells – knew about the buyback scheme. Ms. Calkins, who represents the Wellses, commented that the court's decision was the correct one.
"The Wells defendants are pleased with the court's recognition that plaintiffs had no factual allegations to support many of the claims," she said. "We will disprove the remaining allegations as the case proceeds."