UBS Secures Derivative Action Dismissal

Skadden secured the dismissal of a derivative action brought against UBS Financial Services, Inc. of Puerto Rico and UBS Trust Company of Puerto Rico by the purported beneficiaries of the Employee Retirement System of the Commonwealth of Puerto Rico (the ERS). The plaintiffs alleged damages to the retirement system in connection with a decision by the ERS to issue certain bonds. On March 21, Superior Judge Rebecca de León Ríos of the Court of First Instance, Superior Part in the Commonwealth of Puerto Rico dismissed the claims, holding that the plaintiffs lacked standing on behalf of the ERS under Puerto Rican trust law.