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US Supreme Court to Hear Nvidia Crypto Mining Case on Securities Pleading Standard

On June 17, the U.S. Supreme Court granted certiorari in Nvidia Corp. v. E. Ohman J:or Fonder AB, agreeing to hear Nvidia’s appeal of a Ninth Circuit ruling that revived shareholders’ fraud claims regarding Nvidia’s...more

US Supreme Court Limits Scope of Omission Liability for Section 10(b) Securities Fraud Claims

On April 12, in a long-awaited and pivotal decision, the U.S. Supreme Court unanimously ruled that private plaintiffs may not plead a federal securities fraud claim under Section 10(b) of the Securities Exchange Act of 1934...more

Unanimous Supreme Court Sharply Limits Liability under Section 11 for Companies Issuing Securities Through Direct Listings

In a unanimous decision, the U.S. Supreme Court held in Slack Technologies v. Pirani, No. 22-200, 2023 WL 3742580, 598 U.S. __ ( June 1, 2023) that a claim under Section 11 of the Securities Act of 1933 is not viable unless a...more

Recent SEC Complaint Signals Increased Enforcement Risk for Companies on ESG Disclosures

A complaint recently filed by the SEC against Vale S.A., a Brazilian mining company with U.S.-traded American Depository Receipts (ADRs), signals an increased risk of enforcement actions targeting misrepresentations and...more

Not “Securities” — A Victory for Crypto-Related Products

A jury recently held that four cryptocurrency-related products were not “investment contracts,” giving cryptocurrency market participants some much-needed and rarely received comfort that their digital asset(s) or product(s)...more

Delaware Supreme Court Adopts New Three-Part Test for Demand Futility

There is a new demand futility test in Delaware, adopted on September 23 by the Delaware Supreme Court in affirming dismissal of a stockholder derivative action against Facebook, Inc. (Facebook) founder, Mark Zuckerberg, and...more

Second Circuit Rules Plaintiffs' Securities Class Action Cannot Ride the Coattails of Foreign Bank's Regulatory Troubles

A recent decision out of the Second Circuit Court of Appeals sets limits on plaintiffs’ ability to transform regulatory violations into the basis for securities class actions. The decision further clarifies that issuers do...more

District of Massachusetts Finds Optimistic Statements Do Not Amount to Actionable Securities Fraud

A recent decision out of the U.S. District Court for the District of Massachusetts (District of Massachusetts) reaffirms the ability of pharmaceutical companies to make optimistic public statements about clinical trials...more

US Supreme Court Reverses Class Certification in 10b-5 Action

On June 21, the U.S. Supreme Court issued a decision in Goldman Sachs Group, Inc. v. Arkansas Teacher Retirement System, a closely watched case involving the standards for class certification in securities class actions....more

Second Circuit: Nonspecific Fraud Allegations Aren't Enough

On April 20, in Frei v. Taro Pharmaceutical U.S.A., Inc., the U.S. Court of Appeals for the Second Circuit affirmed a Southern District of New York opinion from U.S. District Court Judge Vincent Briccetti, which dismissed,...more

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