Bear Stearns Likely to Face Hedge Fund Lawsuits

Summary


NEW YORK (Reuters) - Investors in two struggling Bear Stearns Cos. hedge funds that made bad bets on risky mortgages will almost surely file lawsuits in hopes of recouping losses, but legal experts say they could have a tough time proving their case.

Already, some investors in the funds are talking to lawyers about bringing cases. Potential lawsuits likely would hinge on whether investors were fully informed of risks, lawyers say.

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Bear Stearns Likely to Face Hedge Fund Lawsuits

Ross Intelisano, an attorney who handles investor cases against financial firms, said his law firm has been contacted by two investors in the Bear Stearns funds - a fund of fu...

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