James Baker, Roth, and Bamberg’s breach of contract claimswere dismissed before trial. Roth and Bamberg’s breach offiduciary duty claims were also dismissed before trial. JanetBaker’s third-party beneficiary breach of contract claim wasvoluntarily dismissed during trial.2worthless. Plaintiffs Janet and James Baker, Robert Roth, andPaul Bamberg, the founders and principal shareholders of Dragon,lost about $300 million as well as their lives’ work, and spentthe next decade in litigation against L&H and others trying toclaim back the losses.Janet and James Baker, wife and husband founders andcontrolling shareholders of Dragon, filed a complaint assertingbreach of contract, negligent and intentional misrepresentation,negligence, gross negligence, breach of fiduciary duty, andviolations of ch. 93A against their investment banker, DefendantGoldman Sachs & Co. (“Goldman”). This lawsuit was consolidatedwith a similar action later filed by Roth and Bamberg, the otherprincipal shareholders.
On January 23, 2013, after a 20-daytrial, the jury found in favor of Goldman on all the plaintiffs’remaining common law claims: negligent performance of services,gross negligence, intentional misrepresentation, negligentmisrepresentation, and the Bakers’ breach of fiduciary dutyclaims. Although the instructions told them to reach the third-party claims only if liability against Goldman was found, thejury also found that Janet Baker made negligentmisrepresentations to Bamberg and Roth and breached her fiduciary