Chimicles & Tikellis represented a class of persons who purchased one or more of 70 limited partnerships, from or through PaineWebber. The suit, brought in the United States District Court for the Southern District of New York, alleged that PaineWebber, through its sales practices represented these investments as appropriate for investors seeking safety, security and preservation of capital and that the unnecessary and excessive fees charged by PaineWebber drained the capital available for investing by the partnership. In July 1996, a $125 million settlement was reached, plus additional benefits including fee waiver, performance guarantees, determined to have a value in excess of $75 million. Distribution was made to class members in May 1998. Receipt of additional benefits has been ongoing, including a $29 million distribution in January 2004.

   Friday, July 04th, 2008