Melanie M. Blunschi

Los Angeles
  • 355 South Grand Avenue
  • Los Angeles, CA 90071-1560
  • USA
 
 

Melanie M. Blunschi is a partner in the Litigation Department of the Los Angeles office of Latham & Watkins. Ms. Blunschi specializes in cases involving accounting, auditing and other financial issues.

Ms. Blunschi’s practice focuses on defending securities class actions, shareholder derivative litigation and professional liability matters for major accounting firms, public companies, financial institutions and corporate officers and directors. Ms. Blunschi also has significant expertise in governmental and regulatory investigations stemming from whistleblower claims or other allegations of financial irregularities.

Ms. Blunschi has extensive experience representing professional services firms, including Deloitte & Touche LLP, Ernst & Young LLP, Arthur Andersen LLP and major foreign accounting firms. She has successfully defended these clients in numerous securities class actions and other shareholder litigation, professional liability matters (including trustee litigation) and private arbitrations. Ms. Blunschi also possesses deep experience in successfully defending issuers and financial institutions in securities litigation and regulatory matters.

Ms. Blunschi is a member of the Board of Directors and Audit Committee for the Los Angeles County Bar Foundation, a non-profit corporation dedicated to funding legal services organizations that serve needy members of our community.

Ms. Blunschi is admitted to practice before all California courts as well as the Ninth Circuit and Second Circuit federal courts of appeals, and she has practiced pro hac vice before federal district courts in New York, Texas, Nevada and the District of Columbia.

      Ms. Blunschi's representative securities and derivative litigation achievements include:

      • Securing dismissal with prejudice on behalf of Ernst & Young LLP in a securities class action arising out of the highly publicized failure of IndyMac Bank and the bankruptcy of its parent, IndyMac Bancorp., in the wake of the housing crisis (C.D. Cal.)
      • Defending a national accounting firm against claims of professional malpractice in a confidential arbitration. Following a two-week hearing, but before any award was rendered, the Claimant agreed to settle the case for a nominal payment.  
      • Securing summary judgment in favor of Deloitte & Touche LLP in litigation arising from the bankruptcy of one of the country's largest hard money real estate lenders. See USACM Liquidating Trust v. Deloitte & Touche LLP, 764 F. Supp. 2d 1210 (D. Nev. 2011).
      • Securing summary judgment in favor of Oracle Corporation and three of its executive officers in a US$3 billion securities fraud class action arising from a missed earnings forecast. In re Oracle Corp. Sec. Litig., 2009 U.S. Dist. LEXIS 50995 (N.D. Cal. June 16, 2009), aff’d, 627 F.3d 376 (9th Cir. 2010).
      • Successfully defending Rentech, Inc. and several of its senior officers and directors in a securities class action and follow-on derivative litigation following a restatement of its financial statements. Favorable settlements were reached in all actions following the filing of defendants’ motion to dismiss.
      • Securing dismissal on behalf of Noah Education in a securities class action lawsuit seeking over US$120 million in damages based on Section 11 claims against a developer of interactive multimedia learning materials, its senior officers and directors.
      • Successfully defending the work of a group of auditors regarding off-balance sheet structured finance transactions in a three-week trial arising out of the largest accountancy case ever brought by the Texas Attorney General's Office.