LexisNexis® Legal Newsroom
Mealey's Securities/D&O Liability - Judge Grants Limited Reconsideration In Auction-Rate Securities Suit

LAS VEGAS - A federal judge in Nevada on Jan. 8 granted an investor's motion for limited reconsideration in a securities lawsuit, ruling that the investor had properly shown that his investment in certain auction-rate securities occurred at a point that makes his federal securities law claims actionable...

Mealey's Securities/D&O Liability - High Court Won't Hear Appeal In Gupta Insider Trading Action

WASHINGTON, D.C. - The U.S. Supreme Court on Jan. 12 declined review of a Second Circuit U.S. Court of Appeals ruling upholding the Securities and Exchange Commission's claims against convicted inside trader Rajat K. Gupta for violation of federal securities laws (Rajat K. Gupta v. Securities and...

Mealey's Securities/D&O Liability - 2nd Circuit: Lead Plaintiffs Failed To Plead Scienter In Securities Class Action

NEW YORK - A federal district court did not err in dismissing all claims in a securities class action lawsuit against Morgan Stanley and others over alleged misstatements made in connection with its exposure to the subprime mortgage market because lead plaintiffs failed to properly plead scienter and...

Mealey's Securities/D&O Liability - S&P To Pay More Than $58M To Settle Claims In SEC Enforcement Action

WASHINGTON, D.C. - Credit ratings agency Standard & Poor's (S&P) will pay more than $58 million and accept a one-year ban on rating conduit fusion commercial mortgage-backed securities (CMBS) as part of a settlement agreement reached Jan. 21 with the Securities and Exchange Commission in...

Mealey's Securities/D&O Liability - Securities Class Action Settlement Amounts Down In 2014, Report Shows

NEW YORK - The average amount of securities class action settlements dropped 38 to 61 percent in 2014, "depending on which types of class actions are considered," according to an annual report released Jan. 20 by NERA Economic Consulting.

Mealey's Securities/D&O Liability - Securities Class Action Filings Down 10 Percent In 2014, Report Shows

BOSTON - Although shareholders filed more federal securities class action lawsuits than in 2013, the number was still 10 percent lower than the average observed from 1997 to 2013, according to an annual report released Jan. 27 by Cornerstone Research.

Mealey's Securities/D&O Liability - Pfizer To Pay $400M To Settle Securities Suit Over Off-Label Marketing Scheme

NEW YORK - Pfizer Inc. will pay $400 million to settle claims that it engaged in illegal off-label marketing and kickback schemes for certain of its products in violation of federal securities laws, according to a Securities and Exchange Commission document filed by Pfizer on Jan. 27 (Mary K. Jones v...

Mealey's Securities/D&O Liability - Securities Actions Down For 3rd Straight Year, Advisen Report Shows

NEW YORK - Securities and business litigation filings and enforcement actions were down for a third straight year in 2014, but the overall number was still elevated "compared to the years prior to the financial crisis," according to a report released Jan. 27 by insurance information firm Advisen...

Mealey's Securities/D&O Liability - Panel: Investor Failed To Plead Misrepresentation, Scienter In Securities Suit

SAN FRANCISCO - A federal district court did not err in dismissing a securities class action lawsuit against a biopharmaceutical company and certain of its executive officers for alleged violations of federal securities laws because the lead plaintiff failed to properly plead a material misrepresentation...

Mealey's Securities/D&O Liability - Judge: Investors Failed To Plead Misrepresentation In Securities Class Action

NEWARK, N.J. - Dismissal of a shareholder class action lawsuit is proper, a federal judge in New Jersey ruled Jan. 28, because shareholders failed to properly plead any actionable misrepresentations in making their federal securities law claims (Marianna Nasyrova v. Immunomedics Inc., et al., No. 14...

Mealey's Securities/D&O Liability - McGraw Hill, S&P To Pay $1.5B To Settle Fraud Claims Over Credit Ratings

WASHINGTON, D.C. - McGraw Hill Financial Inc. and its subsidiary, Standard & Poor's Financial Services LLC (S&P Financial), announced on Feb. 3 that they will pay a combined $1.5 billion to settle actions brought by the U.S. Department of Justice, the attorneys general of 19 states and the...

Mealey's Securities/D&O Liability - Lead Plaintiffs Failed To Plead Scienter In Securities Class Action, Panel Rules

BOSTON - A federal district court did not err in dismissing a securities class action lawsuit against a medical device manufacturer and certain of its executive officers because lead plaintiffs failed to properly plead scienter, a First Circuit U.S. Court of Appeals panel ruled Feb. 6 (Fire and Police...

Mealey's Securities/D&O Liability - Shareholders Properly Pleaded Claims In 'Pump-And-Dump' Suit

WEST PALM BEACH, Fla. - Dismissal of a securities class action lawsuit is not proper, a federal judge in Florida ruled Feb. 10, because shareholders have properly pleaded their federal securities law claims alleging that the defendants engaged in an illegal "pump-and-dump" scheme (Todd Stanaford...

Mealey's Securities/D&O Liability - Judge: Lead Plaintiffs Failed To Plead Material Misrepresentations, Scienter

CHICAGO - Dismissal of a securities class action lawsuit against a telecommunications network products developer and certain of its executive officers is proper because lead plaintiffs have failed to plead any material misstatements or scienter in making their federal securities law claims, a federal...

Mealey's Securities/D&O Liability - Judge Preliminarily Approves $235M Settlement In Securities Class Action

NEW YORK - A federal judge in New York on Feb. 19 granted preliminary approval to a $235 million securities class action settlement between shareholders and underwriters of Residential Accredit Loans Inc. (RALI) Mortgage Asset-Backed Pass-Through Certificates, who are alleged to have misrepresented RALI's...

Mealey's Securities/D&O Liability - Appointments Of Lead Plaintiff, Counsel Affirmed In Securities Class Action

NEWARK, N.J. - A federal judge in New Jersey on March 3 denied an investor's motion for reconsideration of her order appointing an investor group as lead plaintiff in a securities class action lawsuit, ruling that the investor group properly rebutted the presumption in favor of the investor (In re...

Mealey's Securities/D&O Liability - Judge: Lead Plaintiff Properly Pleaded Scienter In Securities Class Action

NEW YORK - Dismissal of a securities class action lawsuit against a biopharmaceutical company and certain of its executive officers is not proper, a federal judge in New York ruled March 4, because a shareholder has shown that the defendants acted with scienter in violating provisions of federal securities...

Mealey's Securities/D&O Liability - Judge: Lead Plaintiffs Properly Pleaded Scienter In Securities Class Action

MINNEAPOLIS - A federal judge in Minnesota substantially denied motions to dismiss filed by defendants in a securities class action lawsuit, ruling that lead plaintiffs have shown that the defendants issued material misrepresentations and acted with the requisite scienter (Beaver County Employees'...

Mealey's Securities/D&O Liability - $146M Settlement Reached In Securities Class Action Over Merger Deal

CHARLOTTE, N.C. - Lead plaintiffs and defendants in a securities class action lawsuit have agreed to a settlement of $146.25 million on claims that the defendants misrepresented the post-merger role of a CEO in violation of federal securities laws, according to a stipulation of settlement filed March...

Mealey's Securities/D&O Liability - Panel: Judge Properly Dismissed Securities Claims For Failure To Plead Scienter

PHILADELPHIA - A federal judge did not err in dismissing a securities class action lawsuit against pharmaceutical companies and certain of their officers and directors for alleged violations of federal securities law because shareholders failed to properly plead scienter, a Third Circuit U.S. Court of...

Mealey's Securities/D&O Liability - Panel: Services Did Not Provide Equivalent Value To Ponzi Scheme Creditors

NEW ORLEANS - A federal district court erred in granting summary judgment in favor of a defendant in a clawback lawsuit stemming from the R. Allen Stanford Ponzi scheme because the defendant failed to show that its advertising services provided a "reasonably equivalent value" to the Ponzi scheme's...

Mealey's Securities/D&O Liability - U.S. Supreme Court Applies Reasonable Basis Standard For Statements Of Opinion

WASHINGTON, D.C. - The U.S. Supreme Court on March 24 reversed and remanded a Sixth Circuit U.S. Court of Appeals opinion in a securities class action lawsuit that determined that a company's executive officers may be held liable for statements made to investors that later turned out to be false...

Mealey's Securities/D&O Liability - Report: Securities Class Action Settlements Hit Lowest Levels Since 1998

BOSTON - Total settlement dollars in securities class actions dropped to their lowest point in 16 years in 2014, while the average settlement amount dropped to its lowest level since 2000, even though the "number of settlements remained largely unchanged," according to a report released March...

Mealey's Securities/D&O Liability - U.S. Supreme Court Won't Hear Appeal In Merger Agreement Suit

WASHINGTON, D.C. - The U.S. Supreme Court on March 23 declined review of an 11th Circuit U.S. Court of Appeals ruling affirming a federal jury award in a merger agreement lawsuit that sought determination whether Section 10(b) of the Securities Exchange Act of 1934 requires a corporation to update prior...

Mealey's Securities/D&O Liability - Judge Appoints Lead Plaintiff, Lead Counsel In Securities Class Action

NEW YORK - A federal judge in New York on March 23 appointed an institutional investor as lead plaintiff in a consolidated securities class action lawsuit, ruling that the investor has met all statutory requirements for serving as lead plaintiff (Woburn Retirement System v. Salix Pharmaceutical Ltd....