Ruling in the case Nine West LBO Securities Litigation, the United States Court of Appeals for the Second Circuit cited Professor Ralph Brubaker's work on safe harbor rules in the Tax Equity and Fiscal Responsibility Act of 1982. The case revolved around the leveraged buyout of an apparel and footwear company, including brands such as Nine West and Anne Klein, and the later bankruptcy filing of the company's successor. The Second Circuit determined, based on Brubaker's scholarship, that payroll transfers made by the company that filed for bankruptcy were not covered under the safe harbor rules and vacated the lower court's decision regarding those claims.
Read the full opinion.