Lawyers for Realogy and Richard A. Smith requested corrections and clarifications on a recent two-part series (see "Realogy puts Homestore behind it" and "Realogy quietly exits Homestore scandal") that focused on ties between Homestore (now Move Inc.) and former Realogy parent company Cendant, and the settlement earlier this year of securities fraud litigation that dates back to 2001.
The series has been corrected and amended in response to requested corrections, clarifying statements and additional information brought forward by lawyers for Realogy and Smith.
The lawyers point to public disclosures of Cendant’s relationship with the Real Estate Technology Trust, or RETT, and the purpose of RETT. Among those disclosures was a proxy statement filed by Homestore in November 2000. And they cite statements by a U.S. District Court judge, who said that a Cendant press release issued in October 2000 "suggests there was no potential for the investing public to be deceived as to the nature of Cendant’s relationship with the RETT." The series was amended to include additional information about the RETT and public disclosures related to the RETT.
Lawyers for Realogy and Smith additionally state that Smith "never ‘agreed to tear up the contracts obligating Homestore’s ‘give back’ purchases from Cendant," that Smith "was not a ‘close friend’ " of Stuart Wolff and "only knew Mr. Wolff through their very limited business dealings," and "was on the board of directors for Homestore for a very brief time, beginning only in April 2001." The series was amended to include these amplifications.
Also, one of two references to a judge’s dismissal of multiple parties — including Smith and Cendant — "with reservation" from a complaint related to the litigation was deleted.
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