Hedge fund founder George Weiss has filed personal bankruptcy months after a federal judge ruled he’s liable for more than $100 million in debt his eponymous firm owes Jefferies Financial Group Inc.
Judge Alvin K. Hellerstein of the U.S. District Court for the Southern District of New York sided firmly with Jefferies and Leucadia, granting summary judgment against Mr. Weiss.
Applying New York contract law, Judge Hellerstein ruled that:
- The Forbearance Agreement clearly and unambiguously imposed a personal guarantee of payment by Mr. Weiss for his hedge funds’ debts.
- The language of the agreement demonstrated mutual assent, enforceability, and valid consideration, including the benefit to Weiss of delayed repayment.
- The agreement must be read in its entirety, and the personal guarantee of performance necessarily encompassed a guarantee of payment.
Jefferies Strategic Investments, LLC et al v. Weiss, No. 1:2024cv04369 – Document 41 (S.D.N.Y. 2025)
Court Description: OPINION AND ORDER GRANTING PLAINTIFFS’ MOTION FOR SUMMARY JUDGMENT AND DENYING DEFENDANT’S MOTION FOR SUMMARY JUDGMENT re: 24 MOTION for Summary Judgment. filed by George Weiss, 29 MOTION for Summary Judgment . file d by Leucadia Asset Management Holdings LLC. Based on the foregoing, I grant Plaintiffs’ motion for summary judgment and deny Defendant’s cross-motion. The Clerk of Court shall enter final judgment in favor of Plaintiffs and tax costs. She shall also terminate ECF Nos. 24 and 29, and close this case. SO ORDERED. (Signed by Judge Alvin K. Hellerstein on 3/12/2025) (ar) Transmission to Orders and Judgments Clerk for processing.
