NEW YORK - A Second Circuit U.S. Court of Appeals panel on July 7 partially overturned a federal judge's class certification order, ruling that the judge failed to properly consider the U.S. Supreme Court's ruling in Morrison v. National Australia Bank, Ltd. in certifying two classes of investors in a securities class action lawsuit (In re Petrobras Securities Litigation, No. 16-1914, 2nd Cir., 2017 U.S. App. LEXIS 12219).
SAN FRANCISCO - A semiconductor developer and certain of its executive officers will pay more than $7 million to settle claims that they violated federal securities laws by failing to disclose certain related party transactions in the company's financial statements, lead plaintiffs say in a motion for preliminary approval of settlement filed July 10 in California federal court (In re Montage Technology Group Limited Securities Litigation, No. 14-0722, N.D. Calif.).
SAN FRANCISCO - The Ninth Circuit U.S. Court of Appeals on July 7 affirmed a lower federal court's finding that a software firm insured's former first-layer excess directors and officers liability insurer is entitled to recover the $5 million it paid to settle an underlying securities action plus prejudgment interest from the insured's latter first-layer excess directors and officers liability insurer (Genesis Insurance Co. v. Magma Design Automation Inc. v. National Union Fire Insurance Company of Pittsburgh, Pa., No. 15-16999, 9th Cir., 2017 U.S. App. LEXIS 12194).
BATON ROUGE, La. - A transfer of venue to Illinois federal court is necessary because all public and private interest weigh heavily in favor of such action, a federal judge in Louisiana ruled July 5 in granting an expedited motion for transfer of venue in a securities class action lawsuit (Robert Berg v. Akorn Inc., et al., No. 17-0359, M.D. La., 2017 U.S. Dist. LEXIS 103917).
WASHINGTON, D.C. - The U.S. Supreme Court on June 27 declined review of a securities class action lawsuit against The Bear Stearns Cos. LLC and others, which sought to determine whether American Pipe & Construction Co. v. Utah tolling applies to statutes of repose (SRM Global Master Fund Limited Partnership v. The Bear Stearns Companies LLC, et al., No. 16-372, U.S. Sup.).
WASHINGTON, D.C. - The U.S. Supreme Court on June 27 decided not to grant review of a New York federal court's dismissal of a securities class action lawsuit to determine whether the district court erred in ruling that investors' claims were not timely in contradiction of the high court's ruling in American Pipe & Construction Co. v. Utah (Russell Dusek, et al. v. JPMorgan Chase & Co., et al., No. 16-389, U.S. Sup.; 2016 U.S. S. Ct. Briefs LEXIS 3491).
WASHINGTON, D.C. - The U.S. Supreme Court on June 27 denied an investor's petition for writ of certiorari that sought to overturn a federal district court's dismissal of a securities class action lawsuit as time-barred against Transocean Ltd. and certain of its former executive officers stemming from the Deepwater Horizon explosion and oil spill (DeKalb County Pension Fund v. Transocean Ltd., et al., No. 16-206, U.S. Sup.).
WASHINGTON, D.C. - The U.S. Supreme Court on June 27 agreed to hear an appeal of a California Superior Court ruling that shareholders in a securities class action are not preempted from bringing their claims under the Securities Act of 1933 by the Securities Litigation Uniform Standards Act (SLUSA) (Cyan Inc. v. Beaver County Employees Retirement Fund, et al., No. 15-1439, U.S. Sup.).
WASHINGTON, D.C. - In exchange for a security pledge, an English mining company on June 28 said an ad hoc Committee for the International Centre for Settlement of Investment Disputes (ICSID) has agreed to stay the enforcement of an award that dismissed an arbitration in favor of the Republic of Indonesia, pending the completion of an annulment proceeding (Churchill Mining PLC v. Republic of Indonesia, No. ARB/12/14 and ARB/12/40, ICSID).
WASHINGTON, D.C. - Without providing further detail, an equally divided 10-judge panel of the District of Columbia Circuit U.S. Court of Appeals on June 26 denied on rehearing en banc an investment adviser and his company's argument that a lower court erred in determining that the Securities and Exchange Commission has appointed its administrative law judges in violation of the appointments clause of the U.S. Constitution (Raymond J. Lucia Companies Inc., et al. v. Securities and Exchange Commission, No. 15-1345, D.C. Cir.).
RICHMOND, Va. - Because a plan administrator failed to follow a reasoned process in determining a disability claimant's onset date of disability, the plan must adopt the disability onset date determined by the Social Security Administration (SSA), the Fourth Circuit U.S. Court of Appeal said June 23 in affirming a district court's decision (Jesse Solomon v. Bert Bell/Pete Rozelle NFL Player Retirement Plan, et al., No. 16-1730, 4th Cir., 2017 U.S. App. LEXIS 11197).
WASHINGTON, D.C. - The U.S. Supreme Court on June 26 agreed to decide whether the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010's whistleblower provision extends to individuals who have not reported the alleged misconduct to the Securities and Exchange Commission (Digital Realty Trust, Inc. v. Paul Somers, No. 16-1276, U.S. Sup.).
WASHINGTON, D.C. - A securities class action lawsuit filed by shareholders after opting out of a settlement class against the same defendants was untimely and properly dismissed, a split U.S. Supreme Court ruled June 26, finding that American Pipe & Construction Co. v. Utah, 414 U.S. 538 (1974), did not expand the three-year period allowed for in the Securities Exchange Act of 1934, which was found to be a statute of repose (California Public Employees' Retirement System v. Moody Investors Service Inc., et al., No. 16-373, U.S. Sup.).
SAN JOSE, Calif. - After more than two years of litigation, including two partial dismissal rulings, the plaintiffs suing Anthem Inc. over a 2015 data breach filed a motion in California federal court June 23, seeking preliminary approval of a settlement with the insurer that would establish a $115 million settlement fund and maintain credit-monitoring services (In Re: Anthem Inc., Customer Data Security Breach Litigation, No. 5:15-md-02617, N.D. Calif.).
NEW YORK - A New York federal judge on June 21 dismissed an Employee Retirement Income Security Act putative class action that alleged that a record keeper's advice arrangement constituted a breach of fiduciary duty resulting in excessive fees, saying that the plaintiff failed to allege facts showing that the defendants were ERISA fiduciaries with respect to their fees (Lisa Patrico v. Voya Financial Inc., et al., No. 16-cv-7070, S.D. N.Y., 2017 U.S. Dist. LEXIS 95735).