We represented Allegheny Energy in the Second Circuit in a case arising from Allegheny's purchase (from Merrill Lynch) of an energy trading business for $490 million in cash, stock in a newly formed energy trading company, and a $115 million repurchase option on the stock. When Allegheny refused to honor the repurchase option, Merrill sued for breach of contract. Allegheny counterclaimed for fraud and breach of warranty based upon false statements Merrill had made during negotiations about the company's financial performance. The district court granted Merrill's motion for summary judgment on its contract claim, dismissed Allegheny's counterclaims after a bench trial, and awarded Merrill over $158 million in damages. Taking over the case on appeal, we persuaded the Second Circuit to overturn the District Court's key rulings in their entirety. The Second Circuit vacated the $158 million verdict for Merrill and reinstated Allegheny's counterclaims which were worth over $300 million.