A federal court has dismissed a lawsuit filed by a San Diego pension against Amaranth Advisors, finding that the firm made all the necessary written disclaimers to clients of its collapsed hedge fund, despite appearing to downplay risk in oral presentations. The decision serves as a reminder for investors and consultants that the final authority in manager due diligence often lies in written contracts, regardless of what a firm might say when it markets its strategy. Neal Gerber Eisenberg partner and Fund Formation & Investment Management Practice Group chair Michael B. Gray is quoted in a March 22, 2010 FUNDfire article.

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