New Trends In Securities Litigation Emerged In 2010, According To PwC Study

A number of trends that had predominated in recent years diminished during 2010 while new trends emerged, according to PwC's 2010 Securities Litigation Study, which can be found here . 2010 may also mark "the start of a new era" as a consequences of a new regulatory and enforcement environment...

6th Circuit Affirms Dismissal of Securities Class Action Based on SLUSA

The Sixth Circuit Court of Appeals affirmed the dismissal of a securities class action tied to the market crisis and brought against three mutual funds issued by Morgan Keegan Select Fund, Inc., an open-ended investment company. Atkinson v. Morgan Asset Management, Inc., No. 09-6265 (6 th Cir. Sept....

High Court Will Have To Resolve Circuit Split On Class Certification In Securities Fraud Cases

The Ninth Circuit joined the Third and the Seventh in concluding that at the class certification stage plaintiffs in a securities fraud damage action need not prove materiality to utilize the fraud-on-the market. Three other circuits take a contrary view. The Circuit Court also held that the district...

Tone Used In Disclosure Statements Can Affect Susceptibility To Securities Class Actions

The tone public companies use in their disclosure statements can affect the companies' susceptibility to securities class action litigation, according to a recent academic study. The authors found that firms hit with securities litigation generally used more optimistic language in their disclosure...

SNR Denton On Kartman v. State Farm: No Bad Faith Liability Unless Some Benefits Improperly Delayed Or Denied

By William T. Barker, Partner, SNR Denton In Kartman v. State Farm Mutual Automobile Insurance Co. , the Seventh Circuit reversed certification of a class action for allegedly improper adjustment of claims for hailstorm damage to insureds' roofs. In the process, it added weight to the already...

Academics Identify Factors That Affect Outcomes Of Securities Class Action Lawsuits

A great deal of the analysis of securities class action lawsuit settlements revolves around measures of aggregate, average and median settlement amounts. These data, while useful, are relatively unhelpful in trying to anticipate the outcome of any particular case, particularly at the outset. To try to...

Settlements Of Class Action Securities Lawsuits Involving U.S.-Listed Chinese Companies Are Relatively Modest

Beginning in 2010 and accelerating in 2011, plaintiffs' lawyers filed a wave of securities class action lawsuits against U.S.-listed Chinese companies, many of which obtained their U.S. listings via reverse merger. These cases have been making their way through the courts, and some have now reached...

Cornerstone, NERA Reports Chronicle Securities Class Action Filings For 2012

Trends in the filing of securities class actions are chronicled in reports issued by Cornerstone Research and NERA Economic Consulting for the first half of 2012. The two reports agree on a number of items but differ on the overall trend regarding the pace of filings. Despite the differences in the reports...

Securities Class Action Lawsuit Filed By H-P Shareholders Over Autonomy Revelations

When H-P announced on November 20, 2012 that it was taking an $8.8 billion charge after it discovered "accounting improprieties, misrepresentations and disclosure failures" at its Autonomy unit (which H-P acquired in October 2011 for $11.1 billion), there was a great deal of speculation that...

Securities Class Action Lawsuits Against Life Sciences Companies Rose In 2012

The number of securities class action lawsuits filed against life sciences companies rose in both absolute and relative terms in 2012, according to a March 20, 2013 memorandum by David Kotler of the Dechert law form entitled "Survey of Securities Fraud Class Actions Brought Against U.S. Life Sciences...

Norton Rose Fulbright Releases 10th Annual Litigation Trends Survey

U.S. companies increasingly concerned about regulatory investigations The number of US companies facing regulatory proceedings increased for the third consecutive year, according to Norton Rose Fulbright's 10th Annual Litigation Trends Survey . The upward trend is the result of a stricter...

This is Real Law: Risky Business: More IPOs Could Lead to More Litigation

Few public entertainers have topped the showmanship of Jean François Gravelet-Blondin. The 19th-century French tightrope walker and acrobat was famous for many astounding feats, including crossing Niagara Falls numerous times—while blindfolded, pushing a wheelbarrow, on stilts and even carrying...