Not Just for Issuers Anymore -
Plaintiffs’ counsel have been trying to bring underwriters, bankers, auditors and other advisers into securities class actions as defendants, particularly where an issuer is unlikely to be able to satisfy a judgment. Plaintiffs often seek to add advisers after the action has been commenced. Monitoring new actions will give advisers advance notice of where they might be at risk of being added as defendants.
Start Early -
While securities class actions may result from sudden and unforeseen events, these are in the minority. The time to start thinking about defending a securities class action is when you first recognize that it may be necessary to disclose information that could be seen as “bad news” by the market.
Please see full publication below for more information.