Jo Hopper hired more than seven years ago the services of JPMorgan Chase to manage the inheritance left by her late husband. Now the entity should compensate him with nothing more and nothing less than $4 billion, after a jury in Dallas (Texas) determined that the largest bank in the United States would make a mismanagement of the unfortunate fortunes left by the former American executive Airlines.
Max Hopper died of a heart attack in January 2010, when he was 75 years old. He was one of the great figures in the commercial aviation business and is credited with the creation of the technology on which the airline's reserve systems are supported. He left his wife a valued inheritance in 19 billion. JPMorgan acted as an independent asset manager before distributing it to its heirs.
But the bank took years to release the assets that the executive had, which caused the expiry of the rights of the heirs to the exercise of certain actions. Max Hopper's Fortune managers also ignored the widow's requests to sell titles. The jury therefore considers that the bank acted fraudulently or violated its fiduciary duty.
"Even today, more than seven years after Max Hopper's death, there are assets that have not been released," the family asserts in a note valuing the verdict. They quote from works of art, pieces of furniture and jewels that amassed the marriage during the 28 years that were united. "Surviving a terminal lymphoma is being easier than dealing with this bank," laments the heiress.
The lawyers of the Hooper family revealed during the process the "incompetence" of the bank when it comes to managing the fortune. "They were lacking in meeting the financial deadlines of the assets under their management," they insist, "when the bank actually sells its experience." The jury, after four hours of deliberation, recognizes with this compensation the anguish suffered by the widow.
JPMorgan Chase plans to appeal the verdict and his lawyers are convinced that they will be able to overturn it, because there was no final testament signed. But to confirm, it will stick a good bite to your score. The financial firm that manages Jamie Dimon closed the last quarter with a profit of 7.3 billion, after registering a turnover that rondod the 26.41 billion.
The jurisprudence of the Supreme Court establishes that this type of compensation is disproportionate, so the verdict will be revised considerably downward. JPMorgan Chase considers, in fact, that the amount "exceeds" any possible interpretation of the legislation. Hopper's heirs are waiting on their side to be enough to send a message to the executives in Manhattan.