So, will AIG sue the gouverment?

[sabaku_no_gaara]

AIG board meets over lawsuit against U.S. government
January 9, 2013, 1:11 PM

The board of American International Group Inc. AIG -0.03% is currently meeting to consider whether to join a lawsuit filed by its former CEO Hank Greenberg against the U.S. government.

Reuters

Yep, that’s right — Greenberg is suing the U.S. government, which had rescued the giant insurance firm from collapse at the height of the financial crisis in September 2008. Greenberg’s lawsuit — filed last year by his company Starr International Co. — alleges that the terms of the rescue were unfair to AIG and seeks $25 billion in damages. And Starr has asked AIG to take over the lawsuit or allow Starr to pursue it on its behalf. Ironically, these developments come just as AIG has been running “Thank You America” ads.

AIG CEO Robert Benmosche had this to say in a statement issued late Tuesday: “AIG has paid back its debt to America with a profit, and we mean it when we say thank you to the American people. At the same time, the board of directors has fiduciary and legal obligations to the company and its shareholders to consider the demand served on us and respond in a fair, appropriate, and timely manner.” He added that AIG expects to make a decision in the next several weeks. Read AIG’s full statement here.

News that AIG may join the lawsuit against the government has unleashed a lot of public criticism. Here are some of the reactions from Twitter.

The Wall Street Journal is reporting Wednesday that AIG’s board is wary of joining the controversial lawsuit against the U.S. government. Read the full story on WSJ.com.

In the meantime, shares of AIG gained 0.2% in midday trade.

–Polya Lesova, MarketWatch

http://blogs.marketwatch.com/thetell...-s-government/

So what do you think? Will they join the lawsuit? And do they have any hope of winning the lawsuit against the gouverment? And how would the American public react to this, and more importantly, would it matter?

[brandbll]

We should have never bailed these morons out in the first place. Then these sue happy jackasses would have been so broke they wouldn't have the money to get these jackal lawyers going.

[Col. Tartleton]

They can't have my money!

[Vanoi]

Thought you couldn't sue the US government?

[Border Patrol]

Thought you couldn't sue the US government?

What in the glorious gave you that impression?

[Vanoi]

What in the glorious gave you that impression?

The Constitution where it states you can't sue the federal government?

"The judicial power of the United States shall not be construed to extend to any suit in law or equity, commenced or prosecuted against one of the United States by citizens of another state, or by citizens or subjects of any foreign state."

Please feel free to correct me if i'm wrong.

[Sphere]

The Constitution where it states you can't sue the federal government?

"The judicial power of the United States shall not be construed to extend to any suit in law or equity, commenced or prosecuted against one of the United States by citizens of another state, or by citizens or subjects of any foreign state."

Please feel free to correct me if i'm wrong.

Vanoi is correct, though not because of the 11th amendment as he suggests. That extends sovereign immunity to the state governments. It is SCOTUS that has held that the Federal Government has sovereign immunity.

That being said, through statute the Federal Government has consented to be in sued in a wide range of areas and there are no shortage of cases where this happens. The Federal Government can also waive sovereign immunity in the absence of a statute if it chooses.

[Treize]

In before unpatriotic.

[Border Patrol]

Where does that say Americans can't sue the federal government? More importantly jurisprudence says they can.

[Roboute Guilliman]

They are a company, money is all they care about, not morals. So why not, if they win, they will get some cash, and the people owning shares might make a little profit. Everybody, except US residents, is happy.

[MathiasOfAthens]

Seeks 25 billion in damages because he thinks the terms of his bailout were unfair? YOU WERE ING BAILED OUT. The Terms were you die or accept and you accepted you ing .

[sabaku_no_gaara]

Seeks 25 billion in damages because he thinks the terms of his bailout were unfair? YOU WERE ING BAILED OUT. The Terms were you die or accept and you accepted you ing .

If I understand correctly, the bailout was unconstitutional because the state is not allowed to take something from it's citizens without ample compensation. And the shareholders reason that when the gouverment bailed them out and took 92% of the company, thus witholding capital from the shareholders who want to be compensated.

So the gouverment in their view should have given money without taking anything in return. That way they could have had a shareholder meeting and distribute the bailout money amongst themselves I guess

[The Dude]

Gluttonous hounds. They are the cancer of capitalism.

[Admiral Piett]

Proof that these guys haven't learned their lesson. I figured that the lenders hadn't learned from their mistakes because they never had to. They can just file for bankruptcy and then try to embezzle tax payer money with lawsuits.

[Gaidin]

Prepare for disappointment

[sabaku_no_gaara]

Prepare for disappointment

Good news!

Greenberg is still sueing tough

[Thorn777]

AIG, lol.

[Admiral Piett]

Reading that article, it says there is disagreement between the company's representative and the third party that represents the shareholders. It may still happen, just not by AIG itself.

[Thorn777]

No .

[priam11]

The U.S. governament can get sued. It gets sued all the time.

The United States Court of Federal Claims is one avenue that deals with actions commenced against the Fedreal government i.e. federal tax claims, military pensions, breach of contract etc.

Some Federal statutes allow actions against the US Government such as torts arising out of misconduct by a federal employee.

Other statutes provide absolute immunity to the US government.