In re It Group, Inc., No. 05-2191 (3rd Cir. 7/10/2006)

• Decision Date: 10 July 2006
• Docket Number: No. 05-2191.,05-2191.
• Parties: IN RE: IT GROUP, INC., Debtor. JOHN ACCARDI; DAVID L. BACKUS; ROCHELLE BOOKSPAN; MELISSA L.DUBINSKY; DENNIS G. FENN; JOHN P. FRANZ; WILLIAM A. GAUNTT; THOMAS W. GRIMSHAW; DAVID W. HICKMAN; WARREN C. HOUSEMAN; STEPHEN C. KENNEY; JAMES R. MAHONEY; THOMAS R. MARTI; DAVIDW. MAYFIELD; WILLIAM H. MCINTOSH; ROY MCKINNEY; DAVID C.MCMURTRY; DANIEL C. MELCHIOR, III; GEORGEANN N. MOREKAS; WILLIAM C. PARIS; MATTHEW G. RADEK; KEVIN R. SMITH; LOUIS STOUT; LEONARD YAMAMOTO; JOHN E. FOLEY; JAMES M. REDWINE; STEWART BORNHOFT; ENZO ZORATTO; POLLY QUICK, Appellants, v. IT LITIGATION TRUST; IT GROUP, INC., and their Affiliates, as employers and fiduciaries, administrators and sponsors of the Plan; CARLYLE PARTNERS II, LP, as fiduciary of the Plan and/or tortfeasor; ANTHONY DELUCA; FRANCIS J. HARVEY; HARRY J. SOOSE, as fiduciaries of the Plan and as officers; IT CORPORATION DEFERRED COMPENSATION PLAN EFFECTIVE JANUARY 1, 1996
• Court: U.S. Court of Appeals — Third Circuit

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IN RE: IT GROUP, INC., Debtor JOHN ACCARDI; DAVID L. BACKUS; ROCHELLE BOOKSPAN; MELISSA L.DUBINSKY; DENNIS G. FENN; JOHN P. FRANZ; WILLIAM A. GAUNTT; THOMAS W. GRIMSHAW; DAVID W. HICKMAN; WARREN C. HOUSEMAN; STEPHEN C. KENNEY; JAMES R. MAHONEY; THOMAS R. MARTI; DAVIDW. MAYFIELD; WILLIAM H. MCINTOSH; ROY MCKINNEY; DAVID C.MCMURTRY; DANIEL C. MELCHIOR, III; GEORGEANN N. MOREKAS; WILLIAM C. PARIS; MATTHEW G. RADEK; KEVIN R. SMITH; LOUIS STOUT; LEONARD YAMAMOTO; JOHN E. FOLEY; JAMES M. REDWINE; STEWART BORNHOFT; ENZO ZORATTO; POLLY QUICK, Appellants, v. IT LITIGATION TRUST; IT GROUP, INC., and their Affiliates, as employers and fiduciaries, administrators and sponsors of the Plan; CARLYLE PARTNERS II, LP, as fiduciary of the Plan and/or tortfeasor; ANTHONY DELUCA; FRANCIS J. HARVEY; HARRY J. SOOSE, as fiduciaries of the Plan and as officers; IT CORPORATION DEFERRED COMPENSATION PLAN EFFECTIVE JANUARY 1, 1996

No. 05-2191.

United States Court of Appeals, Third Circuit.

Argued April 3, 2006.

Filed July 10, 2006.

On Appeal from the United States District Court for the District of Delaware, (D.C. Civil No. 04-cv-00146), District Judge: Honorable Joseph J. Farnan, Jr.

John M. Stull, 1300 North Market Street, P. O. Box 1947, Wilmington, DE 19899.

Thomas A. Johnson [ARGUED], Suite 201, 33 West Mission Street, Santa Barbara, CA 93101, Counsel for Appellants, John Accardi; David L. Backus; Rochelle Bookspan; Melissa L. Dubinsky; Dennis G. Fenn; John P. Franz; William A. Gauntt; Thomas W. Grimshaw; David W. Hickman; Warren C. Houseman; Stephen C. Kenney; James R. Mahoney; Thomas R. Marti; David W. Mayfield; William H. McIntosh; Roy McKinney; David C. McMurtry; Daniel C. Melchior, III; Georgeann N. Morekas; William C. Paris; Matthew G. Radek; Kevin R. Smith; Louis Stout; Leonard Yamamoto; John E. Foley; James M. Redwine; Stewart Bornhoft; Enzo Zoratto; Polly Quick.

Jeffrey M. Schlerf, The Bayard Firm, 222 Delaware Avenue, P. O. Box 25130, 9th Floor, Wilmington, DE 19899.

John K. Cunningham, Ileana A. Cruz, White & Case, 200 South Biscayne Boulevard, Suite 4900, Miami, FL 33131. Counsel for Appellees, IT Litigation Trust; IT Group, Inc., and Their Affiliates, As Employers and Fiduciaries, Administrators and Sponsors of the Plan.

Mark D. Collins, Jason M. Madron, Richards, Layton & Finger, One Rodney Square, P. O. Box 551, Wilmington, DE 19899.

Timothy L. Patten, Latham & Watkins, 555 11th Street, N.W., Suite 1000, Washington, DC 20004, Counsel for Appellees, Carlyle Partners II, LP, as Fiduciary of the Plan And/or Tortfeasor.

Ronald S. Gellert, Eckert, Seamans, Cherin & Mellott, 1515 Market Street, Suite 900, Philadelphia, PA 19102.

Mark A. Willard, Delia B. Bianchin, Sandra R. Mihok, Eckert, Seamans, Cherin & Mellott, 600 Grant Street, 44th Floor Pittsburgh, PA 15219, Counsel for Appellee, Anthony DeLuca.

Michael J. Prame [ARGUED], Groom Law Group Chartered, 1701 Pennsylvania Avenue, N.W., Suite 1200, Washington, DC 20006. Counsel for Appellee, Francis J. Harvey.

Charles A. DeMonaco, Dickie, McCamey & Chilcote Two PPG Place, Suite 400, Pittsburgh, PA 15222-5402. Counsel for Appellee, Harry J....