Estimated reading time: 0 minutes, 44 seconds

SCOTUS Decision Helps Shareholders Pursue Class Actions

News Roundup
Written by 

In a move that’s out of sync with a recent spate of decisions making class actions more difficult to pursue, the U.S. Supreme Court last week held that shareholders may pursue securities class actions without first having to prove the defendant company’s actions actually affected the company’s share price, according to a Bloomberg article.

Shareholders will still have to prove that the actions at issue in the case materially affected the price of the stock, but judges will no longer have to determine whether claimants have proven that fact before letting investors band together in a class action lawsuit.

The Court issued the decision in the context of upholding a 9th U.S. Circuit Court of Appeals decision that allowed a shareholder class action suit against the biotechnology company Amgen to proceed.

Read the full Bloomberg article here.

U.S. Supreme Court building.

U.S. Supreme Court building

Enhanced by Zemanta
Read 4352 times
Rate this item
(0 votes)
More in this category: « SCOTUS Hears Case on Voting Rights Act ‘Preclearance’ Formula Jury Awards Vaginal Mesh Victim $11.1 M »

Latest from PLP News

Visit other PMG Sites:
PMG360 is committed to protecting the privacy of the personal data we collect from our subscribers/agents/customers/exhibitors and sponsors. On May 25th, the European's GDPR policy will be enforced. Nothing is changing about your current settings or how your information is processed, however, we have made a few changes. We have updated our Privacy Policy and Cookie Policy to make it easier for you to understand what information we collect, how and why we collect it.
Ok Decline