Eddie Lampert is going to court-again.
This time Sears Hometown and Outlet investors have filed a Civil Action Oct. 4 against Lampert and Transformco.
The plaintiffs-Wayne Grant and Keith Edquist, accuse Lampert of "breach of fiduciary duty and unjust enrichment." In plain English, Lampert is accused of self-dealing.
The information is posted here: https://news.bloomberglaw.com/mergers-and-antitrust/lampert-accused-of-strong-arming-buyout-after-stripping-sears
This complaint is separate from the Sears Holdings Chapter 11 bankruptcy court in New York. Judge J. Travis Laster will preside over this case instead of Judge Robert Drain.
A ESL representative released a statement denying the charge.
There are law firms representing the investors-which could run into the millions just like Sears Chapt. 11-in this lawsuit: Andrews and Springer, Pricket Jones and Elliot D. Seamus Kaskela of Newton Square PA and John K. Green of Omaha, Nebraska.
Lampert is in the process of merging Sears Hometown with Transformco. That may not happen with this lawsuit. The judge could put a halt to Lampert's plans. What impact this has on the remaining Sears and Kmart Stores is unknown at this time.
This legal showdown between these investors and Lampert should be an eye-opener on Lampert's business practices and character. Grant and Edquist are not afraid of Lampert. They intend to fight him all the way.