New York Court of Appeals
Rosalind S. Wells, Respondent v. Shearson Lehman/American Express, Inc., Appellants
June 7, 198872 N.Y.2d 11
Summary
The New York Court of Appeals held that the settlement release in the prior Delaware class action unambiguously barred the plaintiff's malpractice claims against the financial advisors, reversing the Appellate Division and granting the defendants' motion to dismiss. The majority reasoned that under both Delaware and New York law a general release that expressly includes "anyone else" is not ambiguous and therefore discharges the advisors; a dissent argued the release was ambiguous and should not bar the claims.