LexisNexis® Legal Newsroom
Mealey's Securities/D&O Liability - Banks Agree To Pay $165M To Settle Mortgage-Backed Securities Claims

NEW YORK - Underwriters Royal Bank of Scotland Securities Inc., Deutsche Bank Securities Inc. and Wells Fargo Advisors LLC on March 15 agreed to pay a combined $165 million to settle claims that they took part in a fraudulent scheme to misrepresent the underwriting standards they used in the offering...

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

BROOKLYN, N.Y. - Shareholders in a securities class action lawsuit against the operator of an online marketplace and certain of its executive officers have failed to show that the defendants issued any material misrepresentations or omission or acted with the requisite scienter, a federal judge in New...

Mealey's Securities/D&O Liability - Judge Dismisses Majority Of Securities Law Claims Against Solar Energy Company

LOS ANGELES - A federal judge in California on March 15 substantially dismissed a securities class action complaint against a solar energy products manufacturer and certain of its executive officers, ruling that shareholders failed to plead the requisite elements of a majority of their federal securities...

Mealey's Securities/D&O Liability - Lead Plaintiffs Seek Class Certification In Puma Biotech Securities Suit

SANTA ANA, Calif. - Lead plaintiffs in a securities class action lawsuit against a drug maker and certain of its executive officers asked a federal judge in California on March 15 to certify a class of investors, arguing that class certification is statutorily appropriate (Hsingching Hsu v. Puma Biotechnology...

Mealey's Securities/D&O Liability - Judge Certifies Class In Big Lots Securities Class Action Lawsuit

COLUMBUS, Ohio - Class certification in a shareholder lawsuit against a broad line closeout retailer and certain of its executive officers is proper because the lead plaintiff in the action has met all statutory requirements needed for certification, a federal judge in Ohio ruled March 17 (Alan Willis...

Mealey's Securities/D&O Liability - Federal Judge Allows Expert Opinion On Stock Trade In Class Action Securities Suit

COLUMBUS, Ohio - An economic expert may opine as to whether the market in which a company's stock traded was efficient during a class period and whether it is possible to calculate damages on a classwide basis for purposes of liability, an Ohio federal judge ruled March 17 (Alan Willis v. Big Lots...

Mealey's Securities/D&O Liability - Judge: SEC Proxy Statement For Acquisition Deal Was Misleading, Material

PORTLAND, Ore. - Dismissal of a securities class action against a company and its board of directors for allegedly omitting key information in the Securities and Exchange Commission proxy statement for a proposed acquisition deal in an effort to have the company's stock sell for a lesser price is...

Mealey's Securities/D&O Liability - U.S. Supreme Court To Hear Appeal In Securities Class Action Lawsuit

WASHINGTON, D.C. - The U.S. Supreme Court on March 27 agreed to hear a defense technology company's appeal of a Second Circuit U.S. Court of Appeals' ruling to determine if there is a split among the circuits regarding whether a duty to disclose is created by Item 303 of Securities and Exchange...

Mealey's Securities/D&O Liability - Investors Failed To Plead Motive, Opportunity In Pleading Scienter, Judge Rules

NEW YORK - Shareholders in a securities class action lawsuit have failed to plead any elements of scienter in making their federal securities law claims against a supplier of lightweighting and noise, vibration and harshness solutions for personal and commercial vehicles and certain of the executive...

Mealey's Securities/D&O Liability - Judge: Investors Failed To Plead Scienter Against Defendant In Securities Suit

NEW YORK - A federal judge in New York on March 25 partially granted a motion to dismiss filed by defendants in a securities class action lawsuit, ruling that lead plaintiffs failed to show that one of the defendants acted with the requisite scienter in making their federal securities law claims (In...

Mealey's Securities/D&O Liability - Judge: Lead Plaintiff In Securities Suit Failed To Cure Pleading Deficiencies

NEW YORK - The lead plaintiff in a securities class action lawsuit against a steel processing company and certain of its current and former executive officers and directors have failed to show that the defendants issued any material misrepresentations regarding the company's financial condition in...

Mealey's Securities/D&O Liability - Ruby Tuesday To Pay $5M To Settle Claims In Stock Drop Suit

NASHVILLE, Tenn. - Restaurant chain Ruby Tuesday Inc. will pay $5 million to settle claims that it and certain of its executive officers and directors mispresented the company's brand repositioning and concealed the poor performance of one of its chains of restaurants in violation of federal securities...

Mealey's Securities/D&O Liability - Preliminary Approval Of $100M Settlement In Halliburton Securities Suit Granted

DALLAS - A Texas federal judge on March 31 granted preliminary approval of a $100 million securities class action settlement between investors and Halliburton Co. and its CEO who were alleged to have issued certain misrepresentations regarding the company's asbestos litigation liability, its financial...

Mealey's Securities/D&O Liability - Judge: Investors Failed To Properly Service Drug Company's Director

NEWARK, N.J. - Dismissal of claims against a pharmaceutical company's director in a securities class action lawsuit is proper because lead plaintiffs failed to serve the director within the statutorily required 120-time period and failed to show that an extension of that time period is warranted...

Mealey's Securities/D&O Liability - Parties Debate Constitutionality Of SEC Judges In D.C. Circuit

WASHINGTON, D.C. - Securities and Exchange Commission administrative law judges (ALJs) are not officers who need to be appointed pursuant to the appointments clause of the U.S. Constitution, the SEC says in a March 31 opposition brief filed in the District of Columbia Circuit U.S. Court of Appeals (Raymond...

Mealey's Securities/D&O Liability - Lead Plaintiffs Appointed In Securities Suit Against Medical Equipment Developer

SOUTH BEND, Ind. - A group of shareholders have met all statutory requirements to serve as lead plaintiffs in a securities class action lawsuit against a medical equipment developer and certain of its executive officers, a federal judge in New Jersey ruled April 3 in granting their motion for appointment...

Mealey's Securities/D&O Liability - Judge Rejects Defendant's Motion For Reconsideration In Securities Fraud Suit

CENTRAL ISLIP, N.Y. - Ruling that a defendant has failed to provide any new evidence to support his continued motions for reconsideration in a securities fraud lawsuit, a federal judge on April 6 denied the defendant's motion for reconsideration of a previous order denying his request for a stay...

Mealey's Securities/D&O Liability - Judge Grants Preliminary Approval Of $10.5M Settlement In Stock Drop Suit

HOUSTON - A federal judge in Texas on April 10 granted preliminary approval of a $10.5 million settlement between investors and one of the country's largest industrial, engineering and construction companies in a securities class action lawsuit alleging that the company and certain of its current...

Mealey's Securities/D&O Liability - Citibank Moves For Summary Judgment In Securities Lawsuit

NEW YORK - Trustees cannot be held liable for not pursuing enforcement actions against a party that is deemed to be bankrupt at the time the trustee discovers facts giving rise to a claim, a trustee argues in an April 7 motion for summary judgment filed in a shareholder derivative and securities class...

Mealey's Securities/D&O Liability - Defendant In Insider-Trading Suit Seeks Smaller Penalty Amount

ATLANTA - The Securities and Exchange Commission has sought an excessive amount of civil penalty, and a federal judge should require a defendant in an insider-trading lawsuit to pay only a portion of that amount, the defendant argues in an April 7 opposition brief filed in Georgia federal court (Securities...

Mealey's Securities/D&O Liability - Drug Company Hit With Shareholder Suit Over Proposed Merger Deal

BOSTON - A pharmaceutical company and its board of directors issued a proxy statement in connection with a proposed merger deal that contained several misrepresentations and omitted important facts surrounding the proposed transaction in violation of federal securities laws, an investor argues in an...

Mealey's Securities/D&O Liability - Federal Judge Denies Securities Broker's Motion To Bar Expert Testimony

WEST PALM BEACH, Fla. - An expert is qualified to testify regarding a rule under Financial Regulatory Authority Inc. (FINRA), a Florida federal judge ruled April 14, denying a motion to exclude filed by a securities broker-dealer (UBS Financial Services Inc. v. Bounty Gain Enterprises Inc., No. 14-81603...

Mealey's Securities/D&O Liability - Supreme Court Hears Oral Argument In American Pipe Tolling Challenge

WASHINGTON, D.C. - The U.S. Supreme Court on April 17 heard oral arguments in an appeal of a Second Circuit U.S. Court of Appeals ruling affirming that shareholders that filed a securities class action lawsuit after opting out of settlement class against the same defendants were barred from doing so...

Mealey's Securities/D&O Liability - High Court Hears Oral Arguments In Appeal Of SEC Enforcement Action Ruling

WASHINGTON, D.C. - The U.S. Supreme Court on April 18 heard oral arguments in an appeal of a 10th Circuit U.S. Court of Appeals ruling that determined that disgorgement is not a penalty or forfeiture pursuant to 28 U.S. Code Section 2462, U.S.C. 2462, and thus, is not subject to a five-year statute of...

Mealey's Securities/D&O Liability - Harman International To Pay More Than $28M To Settle Securities Class Action Suit

WASHINGTON, D.C. - Audio products and electronic systems manufacturer Harman International Industries Inc. will pay more than $28 million to settle claims that it and certain of its current and former executive officers concealed issues with the company's line of personal navigation devices (PND...