In the News

Ron Breaux, Lawrence Gaydos, Jeremy Kernodle, Emily Westridge and Ryan Paulsen in Texas Lawbook: Fifth Circuit: SEC Case Against Microtune Execs Too Little, Too Late

Two former top executives at Plano-based Microtune Inc. won a major legal victory Wednesday that is likely to end the U.S. Securities and Exchange Commission’s five-year-long effort to prosecute them for allegedly being involved in a $22.5 million options backdating scheme. >>

Haynes and Boone Wins Fifth Circuit Appeal in Case Against the SEC

DALLAS – Haynes and Boone, LLP won a significant victory in a stock options backdating case in the Fifth Circuit Court of Appeals for client Douglas Bartek, the former chairman and CEO of Microtune, Inc. The Fifth Circuit ruled that all claims brought against Bartek by the Securities and Exchange Commission (SEC) were properly dismissed.

"This is a complete win," said Ron Breaux, the Haynes and Boone partner who led the Bartek defense team. “The court rejected the SEC’s arguments on every point and ruled overwhelmingly in our client’s favor.” >>

Larry Gaydos Interviewed by Fox News Channel: Audio Tapes Reveal More Details in 'Fast and Furious' Gunrunner Scandal

In a series of secretly recorded audio tapes, the owner of the gun store that sold a record number of weapons in Operation Fast and Furious admittedly sounds arrogant, crude and complicit in the U.S. government's plan to sell high powered assault rifles to the Sinaloa Cartel.

However, the lawyer representing the Lone Wolf Trading Co. says owner Andre Howard made the tapes only after he suspected he was being lied to, and his language is meant to get Hope McAllister, an agent with the Bureau of Alcohol, Tobacco, Firearms and Explosives, to implicate herself and her agency in their illegal gun running scheme.

"He became very suspicious and in his own defense would tape key conversations with Ms. McAllister and try to get her to make admissions about the truth of the matter," said Dallas attorney Larry Gaydos. "Andre was trying to get her to admit that indeed they did let guns go to Mexico." >>

Haynes and Boone Obtains Important Victory in Stock Options Backdating Case

DALLAS – A federal judge in the Northern District of Texas has dismissed the majority of the Securities & Exchange Commission’s suit against Haynes and Boone client Douglas Bartek, the former chairman and CEO of Plano-based Microtune, Inc.

The SEC sued Mr. Bartek and others in 2008, alleging that Microtune had awarded backdated stock options to its employees without accounting for them properly. Haynes and Boone argued in a motion for summary judgment that the SEC’s complaint was based on conduct that occurred nearly ten years ago, and was barred by the statute of limitations, 28 U.S.C. § 2462. U.S. District Judge Jane J. Boyle agreed. >>



Recent Publications

Horizontal Cooperation Agreements Between Competitors: Key Features of the Revised EC Guidelines

Last week, the European Commission (“EC”) adopted revised rules for evaluating cooperation agreements between horizontal competitors at the same level in the supply/distribution chain. >>



Lawrence A. Gaydos

Partner

Dallas


2323 Victory Avenue
Suite 700
Dallas, Texas 75219
T +1 214.651.5622
F +1 214.200.0837

Areas of Practice

Education

  • TJAGSA, 31st Graduate Course (LL.M. Equivalent), 1983, Distinguished Graduate
  • J.D., University of Virginia School of Law, 1978
  • B.S., United States Military Academy, 1973, Distinguished Graduate

Bar Admissions

  • Virginia
  • Texas

Court Admissions

  • U.S. District Court for the Northern District of Texas
  • U.S. District Court for the Southern District of Texas
  • U.S. District Court for the Eastern District of Texas
  • U.S. District Court for the Western District of Texas
  • U.S. Court of Appeals for the Fourth Circuit
  • U.S. Court of Appeals for the Fifth Circuit
  • U.S. Court of Appeals for the Eighth Circuit
  • U.S. Court of Appeals for the Armed Services
  • U.S. Supreme Court
Lawrence A. Gaydos

Larry Gaydos is a partner in the White Collar Defense/Antitrust Practice Group at Haynes and Boone. He has extensive experience in white collar criminal defense and government investigations, including antitrust, federal securities, defense procurement, foreign trade, environmental and general criminal matters. He also has extensive experience in civil antitrust litigation, antitrust counseling, internal investigations, and federal criminal appeals. He serves as the Chair of the firm's Sarbanes-Oxley Committee and is on the firm's Stock Option Backdating Task Force, and the Professional Responsibility Committee.

Mr. Gaydos' recent representations include:

  • Defense of a CFO of a foreign subsidiary of a multinational oil company in a foreign criminal tax case.
  • Representation of a Texas law firm in state civil litigation against another Texas law firm regarding breach of fiduciary duty and breach of contract claims.
  • Defense of a national manufacturing company in federal civil litigation regarding monopolization claims.
  • Counseling clients and conducting internal investigations involving stock option backdating issues.
  • Defense of a CEO in a DOJ public corruption investigation.
  • Defense of an oil industry client on allegations of nationwide price fixing.
  • Defense of a financial analyst in a parallel IRS and DOJ tax investigation.
  • Defense of an energy company on allegations of price fixing and monopolization.
  • Defense of individuals in a Homeland Security criminal investigation.
  • Representation of the board of directors of a health care company in parallel SEC and DOJ investigations.
  • Internal investigation for the board of directors of an international travel industry company regarding securities issues.
  • Defense of a technology company on allegations of procurement fraud.
  • Internal corporate investigation for a large national manufacturing company concerning state and federal environmental issues.
  • Internal investigation for the audit committee of an international drilling and exploration company regarding securities issues.
  • Internal investigations for the audit committee of a national telecommunications industry client regarding whistleblower allegations and securities issues.
  • Internal investigation for the audit committee of a foreign petroleum company regarding securities issues.
  • Representation of the CEO of a national computer technology company in an internal investigation.
  • Representation of the CEO/GC of a national technology company in a SEC investigation and civil litigation concerning stock option issues.
  • Representation of two retail clients as plaintiffs in a multi-national price-fixing case.
  • Representation of defense industry client in plaintiff antitrust monopolization case against an industry competitor.
  • Internal investigation for audit committee of a Canadian energy company and its United States subsidiary.

Mr. Gaydos speaks frequently on topics such as "A Practical Guide to Option Backdating," "Criminal and Ethical Implications of Sarbanes-Oxley," "Internal Investigations," "Accountant Civil and Criminal Liability," "Grand Jury Representations," "Antitrust Compliance," "Health Care Fraud," and "Cybercrime." He served as a panelist at the Annual Institute on Federal Program Fraud in Washington, D.C., lectured at the Advanced Health Care Course, and was a panelist on the ABA Antitrust Section Teleseminar "Internet Investigations for Multi-National Corporations: Strategies in Light of Global Attorney-Client Privilege Decisions." Mr. Gaydos is a contributing author to the ABA Litigation Section book "Internal Corporate Investigations," (3d ed. 2007). He was selected as The Leading Antitrust Lawyer in Tarrant County by Fort Worth Magazine (Dec. 2002), selected by Euromoney Legal Guide to appear in the 1997 Guide to the World's Leading Litigation Lawyers and is AV® Peer Review Rated Preeminent by Martindale-Hubbell® Law Directory. Mr. Gaydos is past Chair and Council member of the Antitrust and Business Litigation Section of the State Bar of Texas. His most recent publications are "Corporate Governance Issues in Antitrust Internal Investigations" published in the March 2008 ABA Antitrust Compliance Bulletin; "Insights on the Criminal & Civil Antitrust Practice" published in the Inside the Minds series: The Art & Science of Antitrust Laws - Leading Lawyers on Compensation, Litigation and Globalization, and Strafford Legal Briefings' "Internal Investigations: Before the Government Comes Knocking - Evaluating and Preparing for Investigations" and "Internal Investigations: Conducting Investigations and Protecting Corporate Rights and Interests." He is the past Regional Chair of the ABA White Collar Crime Committee of the ABA Criminal Justice Section.

Prior to joining Haynes and Boone, Mr. Gaydos served in the U.S. Army Corps of Engineers for two years, and spent 11 years in the U.S. Army Judge Advocate General's Corps where he prosecuted and defended military criminal cases. He later served as a professor at The Judge Advocate General's School in Charlottesville, Virginia, where he taught procurement fraud, pretrial investigations, advanced trial advocacy, sentencing and professional responsibility, as well as a variety of substantive criminal courses. Mr. Gaydos left active military duty in 1986 as a Major.

Military Education

  • Airborne School, 1971
  • 31st Judge Advocate General School Graduate Course, 1983, Distinguished Graduate

Other Publications

Mr. Gaydos also authored articles on criminal law topics published in The Military Law Review and The Army Lawyer.

Selected Representative Experience


Securities and Exchange Commission v. Bartek, No. 11-10594 (5th Cir. Aug. 7, 2012)
Defended client Douglas Bartek, the former chairman and CEO of Microtune, Inc. in a stock options backdating case in the Fifth Circuit Court of Appeals.

Antitrust Counseling in Proposed Telecommunications Acquisition
Represented AT&T before the DOJ and FCC on antitrust matters related to proposed acquisition of T-Mobile USA, including pre-merger integration counseling and planning.

Chocolate Antitrust Litigation
Representation of opt-out direct purchasers in price-fixing case against major chocolate manufacturers.

L-3 v. Lockheed Martin, Northern District of Texas
Representation of L-3 Communications Integrated Systems, Inc. in federal antitrust lawsuit in the U.S. District Court for the Northern District of Texas against Lockheed Martin. The lawsuit, which settled in 2010, alleged that Lockheed Martin violated the antitrust laws by monopolizing the international market for refurbishment of P-3 aircraft.

Memberships

  • American Bar Association (Antitrust, White Collar Criminal Sections)
  • State Bar of Texas
  • Virginia State Bar
  • Tarrant County Bar Association
  • Dallas Bar Association
  • Arlington Bar Association (Board of Directors)

Online Publications

01/27/2010 - Federal Court Issues Injunction Requiring Insurer to Advance Defense Costs to Stanford Financial Defendants for DOJ and SEC Proceedings
Yesterday, January 26, 2010, Judge David Hittner of the United States District Court for the Southern District of Texas issued an important opinion in the Stanford Financial case that paves the way for targets of criminal and civil enforcement proceedings to obtain insurance coverage for costs of defending themselves. The decision marks a significant victory for executives who have the misfortune of being caught up in a government prosecution and find themselves otherwise unable to fund their defense.

12/18/2008 - Siemens AG Concludes FCPA Investigations with Record-Setting Criminal Penalty
On Monday, December 15, 2008, Siemens AG entered comprehensive settlements in the United States and Germany related to charges of widespread bribery of foreign officials from 2001 through 2007. Siemens agreed to pay a record-setting $1.6 billion to resolve charges asserted under the Foreign Corrupt Practices Act ("FCPA"). This alert digests this landmark case and provides observations relevant to companies' FCPA compliance efforts.

11/01/2008 - Best Practices for Corporate Governance and Compliance (Book Chapter)
Inside the Minds, Aspatore Books, 2008.

09/12/2008 - Criminal Prosecution of the FCPA
The Foreign Corrupt Practices Act ("FCPA") has provided the basis for an increasing number of criminal prosecutions during recent years. For example, The Department of Justice initiated more individual prosecutions on FCPA charges than in any other year since the FCPA was enacted, and twice as many as in 2006. The Department of Justice recently obtained a guilty plea in one of its highest profile FCPA cases in the history of the Act. While Albert "Jack" Stanley's plea has garnered significant media attention, significant events during the first two weeks of September in two other cases provide additional insight into FCPA criminal enforcement activity.  The attached alert discusses the developments in these three cases.

09/05/2008 - Recent SEC Action Reinforces Principles of Compliance with the Foreign Corrupt Practices Act
This alert digests the Con-way case and highlights four principles of FCPA compliance that are reinforced by this SEC enforcement action.

06/27/2008 - Foreign Corrupt Practices Act (“FCPA”)
The United States government’s increase in enforcement of the Foreign Corrupt Practices Act (“FCPA”) during the past five years has raised awareness of domestic and foreign corporations to the Act’s requirements. Still, violations continue to make headlines. The latest news came from Houston May 14, when an oil and gas services company agreed to pay $32 million in sanctions for FCPA violations in connection with international contracting activities.

03/01/2008 - Corporate Governance Issues in Antitrust Internal Investigations

11/02/2004 - Alleged Collusion between Insurance Carriers and Brokers may Give Rise to Claims by Policyholders

MultiState Guide to Attorney Disclosure Rules

08/22/2002 - Compliance with the Foreign Corrupt Practices Act in the Post-Sarbanes-Oxley World