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Justices rule on statute of limitations for securities suits 

Published: March 26, 2012

Tags: Securities Exchange Act, securities litigation

The two-year statute of limitations period under §16(b) of the Securities Exchange Act begins to run when the plaintiff becomes aware of the facts underlying the claim, not upon an insider’s filing of a disclosure statement required by the Act, the U.S. Supreme Court has ruled.

Supreme Court to take on tolling securities case 

By: Kimberly Atkins
Published: November 29, 2011

Tags: equitable tolling, Securities Exchange Act, statute of limitations, statute of repose, Supreme Court

WASHINGTON – Sometimes at the U.S. Supreme Court, words and labels mean everything.

On Tuesday, the justices parsed the wording of a securities law provision to determine whether to label it a statute of limitations or a statute of repose. The answer could have a tolling effect on the ability of shareholders who lost a fortune in the dot-com bust to sue for lost profits.

Class action allowed under fraud-on-the-market theory 

Published: November 10, 2011

Tags: class action, FDA, Food and Drug Administration, fraud on the market, Securities Exchange Act, securities fraud

A securities fraud class action could proceed under a presumption that individual class members relied on the defendant’s alleged misrepresentations, the 9th Circuit has ruled in affirming certification.

Justices rule on fraud class certification 

Published: June 6, 2011

Tags: class action, loss causation, Securities Exchange Act, securities fraud, Supreme Court

Securities fraud plaintiffs need not prove loss causation in order to obtain class certification, the U.S. Supreme Court has ruled.

CLASS ACTIONS 

Published: June 6, 2011

Tags: class action, loss causation, Securities Exchange Act, securities fraud, Supreme Court

Securities fraud plaintiffs need not prove loss causation in order to obtain class certification.

See “Justices rule on fraud class certification.”

U.S. Supreme Court. Erica P. John Fund v. Halliburton, No. 09-1403. June 6, 2011. Lawyers USA No. 993-2966.

High Court considers securities fraud class action burden 

By: Kimberly Atkins
Published: April 25, 2011

Tags: class action, loss causation, Securities Exchange Act, securities fraud, Supreme Court

WASHINGTON – During oral arguments Monday, the U.S. Supreme Court pondered whether plaintiffs seeking class certification in a fraud-on-the-market securities fraud claim must prove that a company’s alleged false statements caused its stock to lose value.

Court to consider parent company’s securities liability 

By: Kimberly Atkins
Published: July 1, 2010

Tags: Securities Exchange Act, securities fraud

The U.S. Supreme Court has agreed to consider whether a parent company can be held liable under federal securities law for violations committed by a wholly-owned subsidiary.

SECURITIES FRAUD 

By: Kimberly Atkins
Published: June 28, 2010

Tags: Securities Exchange Act, securities fraud

Is a parent company liable under federal securities law for violations committed by a wholly-owned subsidiary?

See “Court to consider parent company’s securities liability”

Janus Capital Group v. First Derivative Traders, No. 09-525.  Certiorari granted June 28, 2010. Ruling below: 566 F.3d 111 (4th Cir. 2009).

Outside counsel not liable for securities fraud 

By: Pat Murphy
Published: April 30, 2010

Tags: outside counsel, Securities and Exchange Commission Rule 10b-5, Securities Exchange Act, securities fraud

A corporation’s outside counsel could not be held secondarily liable for false statements attributed to the client that investors relied upon, the 2nd Circuit has ruled in affirming a dismissal.

High Court considers limitations issue in Vioxx case 

By: Kimberly Atkins
Published: November 30, 2009

Tags: Securities Exchange Act, statute of limitations, Vioxx

WASHINGTON – The U.S. Supreme Court is set to decide when the statute of limitations began to run in a case brought by investors who claim a drug company made fraudulent claims about the safety of controversial painkiller Vioxx in order to boost sales.