What you need to know: The Supreme Court recently found that defendants in class action securities fraud lawsuits will not be able to challenge the materiality of allegedly fraudulent misstatements or omissions at the preliminary, class-certification stage. Therefore, the materiality issue will almost always be deferred until summary judgment or trial, necessitating costly and distracting discovery.
What you need to do: Public life sciences companies must ensure that their public disclosures present an accurate and understandable sense of their business for investors, without relying on third-party information to round out the picture, since the Court’s decision means that these statements will be viewed in a vacuum until summary judgment or trial.
Please see full alert below for more information.
Firefox recommends the PDF Plugin for Mac OS X for viewing PDF documents in your browser.
We can also show you Legal Updates using the Google Viewer; however, you will need to be logged into Google Docs to view them.
Please choose one of the above to proceed!
LOADING PDF: If there are any problems, click here to download the file.