Brad Karp Selected as a Law360 Securities Law MVP

Governor Cuomo Introduces Proposed New York Legislation on LIBOR Replacement

• Jan 28, 2021
• Publications

Governor Cuomo Introduces Proposed New York Legislation on LIBOR Replacement

New York Governor Andrew Cuomo recently proposed New York-specific legislation aimed at minimizing the legal and economic impact associated with the transition away from LIBOR. The proposed legislation provides for a statutory…

Paul, Weiss Expands Presence in Northern California With Four Prominent Lateral Partners

• Jan 20, 2021
• Firm News

Paul, Weiss Expands Presence in Northern California With Four Prominent Lateral Partners

Melinda Haag, Walter Brown and Randy Luskey will join Paul, Weiss as partners in the Litigation Department, and Jeremy Veit as a partner in the Corporate Department. The four additions will form the foundation for the new Paul, Weiss…

Annual Defense Spending Bill Includes Amendments Expanding SEC’s Ability to Seek Disgorgement

• Dec 16, 2020
• Publications

Annual Defense Spending Bill Includes Amendments Expanding SEC’s Ability to Seek Disgorgement

The National Defense Authorization Act for Fiscal Year 2021, which passed Congress on December 11, responds to recent Supreme Court cases by expanding the SEC’s ability to seek disgorgement in federal court. The bill provides the SEC…

Recent Developments Impacting LIBOR Transition

• Dec 03, 2020
• Publications

Recent Developments Impacting LIBOR Transition

Recently, the administrator of LIBOR announced that it will solicit feedback from market participants early this month on its intention to cease the publication of two USD LIBOR settings after December 31, 2021 and the remaining USD…

A Second California State Court Enforces Federal Forum Provision and Dismisses Securities Act Claims Against All Defendants—Including Underwriters

• Nov 23, 2020
• Publications

A Second California State Court Enforces Federal Forum Provision and Dismisses Securities Act Claims Against All Defendants—Including Underwriters

A California state court recently became the second in the country to dismiss claims brought under the Securities Act of 1933 because the defendant-issuer’s charter contained a federal forum provision (FFP). The decision, in In Re…

Paul, Weiss Presents Webinar on Biden Administration Policy and Regulatory Agenda

• Nov 17, 2020
• Events

Paul, Weiss Presents Webinar on Biden Administration Policy and Regulatory Agenda

On November 17, Paul, Weiss hosted a webinar, “Transition to a Biden Administration: Strategies and Insights,” that offered insights into the likely policy, legislative and regulatory priorities of the new administration.

Class Certification Case Law Updates

• Nov 05, 2020
• Publications

Class Certification Case Law Updates

Several recent decisions on class certification have delved into the role that both representative evidence and uninjured class members play in determining whether predominance has been satisfied within the broader certification…

Delaware Court of Chancery Provides New Guidance on the Standard for Analyzing Demand Futility

• Nov 03, 2020
• Publications

Delaware Court of Chancery Provides New Guidance on the Standard for Analyzing Demand Futility

In an opinion that portends a potential shift in the standard applicable to motions to dismiss derivative cases for failure to plead demand futility—the more common basis for seeking dismissal of such cases in Delaware—Vice Chancellor …

The OCC Issues Guidance Confirming that National Banks and Federal Savings Associations May Hold Reserves for Certain Stablecoins

• Sep 29, 2020
• Publications

The OCC Issues Guidance Confirming that National Banks and Federal Savings Associations May Hold Reserves for Certain Stablecoins

U.S. banks and federal savings associations may accept deposits that serve as reserves for stablecoin backed on a 1:1 basis by a single fiat currency in a hosted wallet. 

Brad Karp, Ted Wells, Susanna Buergel and Dave Curran to Participate in SIFMA Forum

• Sep 23, 2020
• Events

Brad Karp, Ted Wells, Susanna Buergel and Dave Curran to Participate in SIFMA Forum

Firm Chairman Brad Karp, litigation partners Ted Wells and Susanna Buergel, and Chief Sustainability and ESG Officer Dave Curran will participate in a SIFMA C&L Virtual Forum, an event that gathers regulators, compliance…

California State Court Enforces Federal Forum Provision and Dismisses Securities Act Claims

• Sep 17, 2020
• Publications

California State Court Enforces Federal Forum Provision and Dismisses Securities Act Claims

A California state court recently became the first court in the country to dismiss claims brought under the Securities Act of 1933 because the issuer’s corporate charter contained a federal forum provision requiring that such claims…

New York State Court Refuses to Vacate Stay of Securities Act Case Despite Differences with Parallel Federal Lawsuit

• Aug 28, 2020
• Publications

New York State Court Refuses to Vacate Stay of Securities Act Case Despite Differences with Parallel Federal Lawsuit

In In re NIO Inc. Securities Litigation, the New York State Supreme Court recently refused to vacate its stay of a class action under the Securities Act in favor of a parallel first-filed federal court suit, despite plaintiffs’…

Two Leading Trial Lawyers Join Paul, Weiss

• Jul 31, 2020
• Firm News

Two Leading Trial Lawyers Join Paul, Weiss

Meredith Dearborn and Jessica Phillips, two talented trial lawyers, are joining the firm as partners in the Litigation Department. 

LIBOR Transition Update: Efforts Continue to Transition from LIBOR to Alternative Reference Rates by the End of 2021

• Jul 07, 2020
• Publications

LIBOR Transition Update: Efforts Continue to Transition from LIBOR to Alternative Reference Rates by the End of 2021

The anticipated cessation of the London Interbank Offered Rate (“LIBOR”) remains the end of calendar year 2021.  Notwithstanding challenges presented by the COVID-19 pandemic, regulators, industry leaders and working groups remain…

DOJ Antitrust Division and SEC Sign Memorandum of Understanding on Cooperation

• Jun 24, 2020
• Publications

DOJ Antitrust Division and SEC Sign Memorandum of Understanding on Cooperation

On June 22, the DOJ’s Antitrust Division and the SEC announced that they have signed a memorandum of understanding to enhance cooperation between the two agencies.  Beyond continuing cooperation in rulemaking, investigations and…

Supreme Court Upholds the SEC’s Authority to Seek Disgorgement in Civil Actions, But Imposes Important Limiting Principles

• Jun 25, 2020
• Publications

Supreme Court Upholds the SEC’s Authority to Seek Disgorgement in Civil Actions, But Imposes Important Limiting Principles

The Supreme Court held on June 22 that the SEC may seek disgorgement in enforcement actions, as long as the disgorgement does not exceed a wrongdoer’s net profits and is to be awarded for victims. 

Ninth Circuit Affirms Dismissal of Securities Fraud Case Where Pharmaceutical Company Had No Motive to Lie About Likelihood of FDA Approval

• Jun 18, 2020
• Publications

Ninth Circuit Affirms Dismissal of Securities Fraud Case Where Pharmaceutical Company Had No Motive to Lie About Likelihood of FDA Approval

In Nguyen v. Endologix, the Ninth Circuit recently affirmed the dismissal of a putative securities class action alleging that a medical device manufacturer fraudulently expressed optimism that a product would receive FDA approval,…

Second Circuit Significantly Increases the Burden of Pleading Corporate Scienter

• Jun 02, 2020
• Publications

Second Circuit Significantly Increases the Burden of Pleading Corporate Scienter

The Second Circuit recently affirmed dismissal of a securities class action against Kimberly-Clark Corporation and Avanos Medical, Inc. based on alleged misrepresentations by the companies’ senior executives. The court ruled that a…

Class Certification Case Developments (May 2020)

• May 28, 2020
• Publications

Class Certification Case Developments (May 2020)

In this installment of our client alerts focused on class certification decisions, we discuss three recent cases which illustrate an issue percolating in district courts across the country regarding personal jurisdiction in nationwide …

Court Holds that Syndicated Bank Loan Is Not a “Security”

• May 26, 2020
• Publications

Court Holds that Syndicated Bank Loan Is Not a “Security”

Federal and state securities laws generally apply only to instruments that qualify as “securities.” The question of whether a particular instrument is a security, therefore, can have significant and far-reaching consequences. Nearly…

Federal District Court Determines That Pharmaceutical Company Has No Standalone Obligation to Disclose Interim FDA Feedback on Form 483

• May 05, 2020
• Publications

Federal District Court Determines That Pharmaceutical Company Has No Standalone Obligation to Disclose Interim FDA Feedback on Form 483

A federal district court dismissed a putative securities class action lawsuit against Nabriva Therapeutics and several of its officers alleging that the company had fraudulently misled investors about its prospects for getting FDA…

SEC Charges Company with COVID-19-Related Securities Fraud, Reaffirming its Focus on Public Statements and Disclosures Relating to COVID-19

• May 01, 2020
• Publications

SEC Charges Company with COVID-19-Related Securities Fraud, Reaffirming its Focus on Public Statements and Disclosures Relating to COVID-19

The SEC recently brought its first enforcement action arising out of the COVID-19 pandemic. The action reaffirms the Commission’s laser focus on companies’ statements concerning, and responses to, the pandemic. 

LIBOR Cessation: ISDA Announces Preliminary Results of Consultation on Pre-cessation Fallbacks for LIBOR

• Apr 20, 2020
• Publications

LIBOR Cessation: ISDA Announces Preliminary Results of Consultation on Pre-cessation Fallbacks for LIBOR

On April 15, ISDA announced preliminary results of its second market consultation regarding the implementation of pre-cessation fallbacks for derivatives contracts referencing LIBOR.  ISDA found that “a significant majority of…

Second Circuit Denies Rehearing in Key Insider Trading Case

• Apr 13, 2020
• Publications

Second Circuit Denies Rehearing in Key Insider Trading Case

In denying defendants’ petition for rehearing in United States v. Blaszczak, the Second Circuit firmly established potential liability for insider trading in the criminal context even where the original “tipper” receives no personal…

LIBOR Cessation: ARRC Announces Recommendation for Spread Adjustment Methodology for Cash Products

• Apr 09, 2020
• Publications

LIBOR Cessation: ARRC Announces Recommendation for Spread Adjustment Methodology for Cash Products

On April 8, 2020, the Alternative Reference Rate Committee (“ARRC”), a working group convened to help prepare for the cessation of the U.S. dollar London Interbank Offered Rate (USD LIBOR), announced that it had agreed on a…

Update: Mitigating Securities Litigation Risks Related to the Coronavirus

• Mar 31, 2020
• Publications

Update: Mitigating Securities Litigation Risks Related to the Coronavirus

As an update to our earlier alert, “Mitigating Securities Litigation Risks Related to the Coronavirus,” we look at key takeaways from the first two securities fraud class action filings related to COVID-19 disclosures and outline…

COVID-19: LIBOR 2021 Cessation Timing Unchanged Though Planning Delays Expected

• Mar 29, 2020
• Publications

COVID-19: LIBOR 2021 Cessation Timing Unchanged Though Planning Delays Expected

Notwithstanding COVID-19-related market volatility and associated challenges faced by market participants, UK regulators have affirmed that the timetable for LIBOR’s anticipated cessation at the end of calendar year 2021 currently…

SEC Enforcement Co-Directors Issue Statement on Potential Insider Trading and Selective Disclosure Risks Related to COVID-19

• Mar 25, 2020
• Publications

SEC Enforcement Co-Directors Issue Statement on Potential Insider Trading and Selective Disclosure Risks Related to COVID-19

On March 23, SEC Division of Enforcement Co-Directors Stephanie Avakian and Steven Peikin issued a statement concerning “market integrity” in light of the unprecedented impacts of the COVID-19 pandemic.

Mitigating Securities Litigation Risks Related to the Coronavirus

• Mar 05, 2020
• Publications

Mitigating Securities Litigation Risks Related to the Coronavirus

The spread of coronavirus has disrupted global businesses and triggered severe U.S. stock market declines. These events raise the risk that shareholders will convert these stock drops into litigation. We address the securities…

Supreme Court to Decide Constitutionality of CFPB

• Mar 02, 2020
• Publications

Supreme Court to Decide Constitutionality of CFPB

On March 3, 2020, the U.S. Supreme Court will hear oral argument to determine the constitutionality of the Consumer Financial Protection Bureau. Created by Congress as part of the Dodd-Frank Act, the CFPB is a multi-member,…

Brad Karp and Lorin Reisner to Participate in Securities Litigation & Enforcement Institute Event

• Jan 29, 2020
• Events

Brad Karp and Lorin Reisner to Participate in Securities Litigation & Enforcement Institute Event

Firm chairman Brad Karp and litigation partner Lorin Reisner will participate in the New York City Bar’s Eighth Annual Securities Litigation & Enforcement Institute.

U.S. Supreme Court Vacates and Remands ERISA Stock-Drop Suit

• Jan 23, 2020
• Publications

U.S. Supreme Court Vacates and Remands ERISA Stock-Drop Suit

On January 14, 2020, the U.S. Supreme Court issued a per curiam order in Retirement Plans Committee of IBM Jander[1] (“Jander”), a closely watched case regarding the pleading standard for corporate stock-drop and disclosure claims…

Global Regulators Press Market Participants to Prepare Now for LIBOR Transition

• Jan 22, 2020
• Publications

Global Regulators Press Market Participants to Prepare Now for LIBOR Transition

It is widely expected that within two years, by the end of 2021, the London Interbank Offered Rate (“LIBOR”) will no longer be published by LIBOR panel banks. Recognizing the potential impact LIBOR’s cessation could have on lenders,…

ISS and Glass Lewis Publish 2020 Voting Policies

• Nov 18, 2019
• Publications

ISS and Glass Lewis Publish 2020 Voting Policies

U.S. proxy advisory firms Institutional Shareholder Services (“ISS”) and Glass Lewis have issued updates to their respective voting policies for the 2020 proxy season.

Supreme Court to Consider if the SEC May Collect Disgorgement in Civil Enforcement Proceedings

• Nov 04, 2019
• Publications

Supreme Court to Consider if the SEC May Collect Disgorgement in Civil Enforcement Proceedings

On November 1, 2019, the Supreme Court granted certiorari in Liu v. Securities and Exchange Commission, No. 18-1501, to review the question of whether the Securities and Exchange Commission (“SEC”) may obtain disgorgement from a court …

Class Certification Developments (September 2019)

• Sep 27, 2019
• Publications

Class Certification Developments (September 2019)

In this installment of our client alerts focused on class certification decisions, we discuss recent cases evaluating the impact on class certification of economic models that sweep in uninjured class members. 

Lorin Reisner to Speak at Securities Enforcement Forum

• Oct 23, 2019
• Events

Lorin Reisner to Speak at Securities Enforcement Forum

Litigation partner Lorin Reisner will participate on a panel addressing “SEC Practice – Developments in Administrative Proceedings, Trials, Testimony, Wells Process, Settlements and More,” at the 2019 Securities Enforcement Forum. 

In re Everquote: New York Supreme Court’s Commercial Division Holds that Automatic Stay of Discovery Applies in Securities Act Class Actions Filed in State Court

• Aug 21, 2019
• Publications

In re Everquote: New York Supreme Court’s Commercial Division Holds that Automatic Stay of Discovery Applies in Securities Act Class Actions Filed in State Court

In 2018, the United States Supreme Court in Cyan, Inc. v. Beaver County Employees Retirement Fund held that class actions asserting claims under the Securities Act of 1933 (“Securities Act”) that are filed in state court are not…

Class Certification Case Developments (August 2019)

• Aug 01, 2019
• Publications

Class Certification Case Developments (August 2019)

In our first in a series of occasional alerts on updates on class certification decisions, we present two recent court decisions of potential interest. 

Takeaways From the Supreme Court’s Decision in Lorenzo v. SEC

• Jun 04, 2019
• Videos

Takeaways From the Supreme Court’s Decision in Lorenzo v. SEC

In March 2019, the Supreme Court issued its decision in Lorenzo v. SEC, concluding that, under the Securities Act of 1933 and the Securities Exchange Act of 1934, a person who “disseminates” but does not “make” a misstatement may be…

Supreme Court Passes–For Now–on Rejecting an Implied Private Right of Action for Tender Offer Claims

• Apr 25, 2019
• Publications

Supreme Court Passes–For Now–on Rejecting an Implied Private Right of Action for Tender Offer Claims

On April 23, 2019, the Supreme Court issued a one-line per curiam order in Emulex v. Varjabedian:  “The writ of certiorari is dismissed as improvidently granted.”

Audra Soloway to Participate in ABA CLE Conference

• May 01, 2019
• Events

Audra Soloway to Participate in ABA CLE Conference

Litigation partner Audra Soloway will speak on a panel at the American Bar Association’s 2019 Section of Litigation & Solo, Small Firm and General Practice Division CLE Conference.

U.S. Supreme Court Holds that Primary Liability under the Federal Securities Laws May Be Based on Misstatements that the Defendant Did Not Make

• Mar 28, 2019
• Publications

U.S. Supreme Court Holds that Primary Liability under the Federal Securities Laws May Be Based on Misstatements that the Defendant Did Not Make

The Supreme Court held in Lorenzo v. Securities & Exchange Commission that under certain circumstances a person who does not “make” a misstatement may nonetheless be held primarily liable.

10th Circuit Reinstates “Conduct-and-Effects” Test in SEC Enforcement Actions, Superseding Morrison

• Jan 30, 2019
• Publications

10th Circuit Reinstates “Conduct-and-Effects” Test in SEC Enforcement Actions, Superseding Morrison

Last week the United States Court of Appeals for the Tenth Circuit considered the scope of the SEC’s authority to bring a civil enforcement action under the antifraud provisions of the federal securities laws arising from a securities …

Lorin Reisner to Participate in Annual Securities Regulation Institute

• Jan 28, 2019
• Events

Lorin Reisner to Participate in Annual Securities Regulation Institute

Litigation partner Lorin Reisner will participate in the 46th annual Securities Regulation Institute, hosted by the Northwestern Pritzker School of Law.

Harris Fischman Speaks at Northwestern Pritzker School of Law’s Alumni Fireside Chat

• Jan 16, 2019
• Events

Harris Fischman Speaks at Northwestern Pritzker School of Law’s Alumni Fireside Chat

Litigation partner Harris Fischman delivered an Alumni Fireside Chat at Northwestern Pritzker School of Law. 

Brad Karp and Steve Williams to Participate in Securities Litigation & Enforcement Institute Event

• Jan 23, 2019
• Events

Brad Karp and Steve Williams to Participate in Securities Litigation & Enforcement Institute Event

Firm chairman Brad Karp and corporate partner Steve Williams will participate in the New York City Bar’s seventh annual Securities Litigation & Enforcement Institute. 

Ted Wells to Speak at NYC Bar’s CLE Program

• Jan 16, 2019
• Events

Ted Wells to Speak at NYC Bar’s CLE Program

Litigation department co-chair Ted Wells will speak at the New York City Bar’s CLE program, “Giants of the Criminal Bar Trial: Winning Strategies.”

Delaware Court of Chancery Invalidates Federal Forum Selection Provisions for Claims Arising Under the Securities Act of 1933

• Jan 09, 2019
• Publications

Delaware Court of Chancery Invalidates Federal Forum Selection Provisions for Claims Arising Under the Securities Act of 1933

On December 19, 2018, the Delaware Court of Chancery (Laster, V.C) held in Sciabacucchi v. Salzberg et al, C.A. No. 2017-0931-VCL (Del. Ch. Dec. 19, 2018), that federal forum selection provisions contained in the certificates of…

Court Upholds SEC Authority and Finds Broker-Dealer Liable for Thousands of Suspicious Activity Reporting Violations

• Jan 07, 2019
• Publications

Court Upholds SEC Authority and Finds Broker-Dealer Liable for Thousands of Suspicious Activity Reporting Violations

On December 11, 2018, the Securities and Exchange Commission (SEC) obtained a victory in its enforcement action against Alpine Securities Corporation, a broker that cleared transactions for microcap securities that were allegedly used …

Paul, Weiss Announces Election of New Partners

• Dec 07, 2018
• Firm News

Paul, Weiss Announces Election of New Partners

Paul, Weiss is pleased to announce that the following attorneys have been elected to the partnership, effective January 1, 2019: Justin Anderson, Robert Britton, David Carmona, Harris Fischman, Christopher D. Frey, Matthew B.…

Lorin Reisner Speaks at Securities Enforcement Forum

• Nov 01, 2018
• Events

Lorin Reisner Speaks at Securities Enforcement Forum

Lorin Reisner moderated a panel at The Securities Enforcement Forum in Washington, D.C. on November 1. 

NY Commercial Division’s Rule on Technology-Assisted Review

• Oct 22, 2018
• Videos

NY Commercial Division’s Rule on Technology-Assisted Review

The New York Commercial Division’s new Rule 11-e(f), which encourages the use of Technology-Assisted Review (TAR) and sets relevant guidelines, went into effect on October 1, 2018. In this video, litigation partners Chris Boehning and …

Audra Soloway and Jennifer H. Wu to Moderate Panels at “Women in Litigation Forum”

• Oct 18, 2018
• Events

Audra Soloway and Jennifer H. Wu to Moderate Panels at “Women in Litigation Forum”

Litigation partners Audra Soloway and Jennifer H. Wu will both moderate panels at Benchmark Litigation’s “Women in Litigation Forum.”

Brad Karp Featured in LEADERS Magazine

• Oct 10, 2018
• Publications

Brad Karp Featured in LEADERS Magazine

Firm chairman Brad Karp was featured in a Q&A in the latest issue of LEADERS magazine.

Behind Petrobras $1.8 Billion FCPA Settlement, An Interesting Accounting

• Oct 02, 2018
• Publications

Behind Petrobras $1.8 Billion FCPA Settlement, An Interesting Accounting

On September 27, 2018, the U.S. Department of Justice (“DOJ”) and the U.S. Securities and Exchange Commission (“SEC”) announced coordinated enforcement resolutions with Petróleo Brasileiro S.A. – Petrobras, the Brazilian state-owned…

The Financial Crisis 10 Years Later: Lessons Learned

• Sep 15, 2018
• Publications

The Financial Crisis 10 Years Later: Lessons Learned

Ten years after the collapse of Lehman Brothers, market participants and other global companies operate in a markedly changed regulatory enforcement and compliance landscape. This memorandum discusses the legal and business…

The Second Circuit Rejects FCPA Liability for Foreign Persons under Accessory Liability Theories

• Aug 27, 2018
• Publications

The Second Circuit Rejects FCPA Liability for Foreign Persons under Accessory Liability Theories

On August 24, 2018, the Court of Appeals for the Second Circuit held in United States v. Hoskins that a foreign national who does not otherwise fall within the specific categories of defendants enumerated in the Foreign Corrupt…

NY Commercial Division Backs Technology-Assisted Review

• Aug 01, 2018
• Publications

NY Commercial Division Backs Technology-Assisted Review

In a new rule providing guidance on technology-assisted review, the Commercial Division of the New York State Supreme Court encourages litigants to use the most efficient means to conduct review of electronic information. We discuss…

CFTC Issues Largest Ever Whistleblower Award and First Award to a Foreign Whistleblower

• Jul 30, 2018
• Publications

CFTC Issues Largest Ever Whistleblower Award and First Award to a Foreign Whistleblower

On July 12 and 16, 2018, the Commodity Futures Trading Commission (“CFTC” or “Commission”) announced two landmark awards to whistleblowers.  The first was an award of approximately $30 million, by far the CFTC’s largest award to a…

Supreme Court Rules That SEC Administrative Law Judge Appointments Violate The Constitution

• Jun 22, 2018
• Publications

Supreme Court Rules That SEC Administrative Law Judge Appointments Violate The Constitution

On June 21, 2018, the Supreme Court held in Lucia v. SEC, No. 17-130, that the process by which the Securities and Exchange Commission (SEC) selects administrative law judges (ALJs) violates the U.S. Constitution.

The New York Court of Appeals Rules That Martin Act Claims Are Subject to a Three-Year Statute of Limitations

• Jun 14, 2018
• Publications

The New York Court of Appeals Rules That Martin Act Claims Are Subject to a Three-Year Statute of Limitations

On June 12, 2018, in People v. Credit Suisse Securities (USA) LLC, et al., the New York Court of Appeals held that claims brought under the Martin Act—New York’s uniquely broad Blue Sky Law, a powerful tool that permits the Attorney…

U.S. Supreme Court Rules That Class Action Tolling Does Not Extend to Successive Class Actions Filed After Running of the Statute of Limitations

• Jun 12, 2018
• Publications

U.S. Supreme Court Rules That Class Action Tolling Does Not Extend to Successive Class Actions Filed After Running of the Statute of Limitations

On June 11, 2018, the U.S. Supreme Court held in China Agritech, Inc. v. Resh, No. 17-432, 584 U.S. __ (2018), that the class action tolling rule established more than four decades ago does not extend to successive class actions filed …

Supreme Court Rules That Costs of Internal Investigation Are Not Recoverable As Restitution under the Mandatory Victims Restitution Act of 1996

• May 30, 2018
• Publications

Supreme Court Rules That Costs of Internal Investigation Are Not Recoverable As Restitution under the Mandatory Victims Restitution Act of 1996

On May 29, 2018, in Lagos v. United States, the Supreme Court unanimously held that the Mandatory Victims Restitution Act of 1996 (the “MVRA”)[1] does not require a criminal defendant to pay the costs and attorneys’ fees associated…

DOJ Issues New Policy on Coordination of Corporate Penalties to Address “Piling On”

• May 10, 2018
• Publications

DOJ Issues New Policy on Coordination of Corporate Penalties to Address “Piling On”

Yesterday, Rod Rosenstein, Deputy Attorney General of the U.S. Department of Justice, announced a new policy, in the form of an addition to the United States Attorneys’ Manual (“USAM”), concerning the coordination of corporate…

United States v. Litvak: Second Circuit Rejects Challenge to the Materiality of Misstatements but Overturns Conviction a Second Time Due to Agency-Relationship Testimony

• May 07, 2018
• Publications

United States v. Litvak: Second Circuit Rejects Challenge to the Materiality of Misstatements but Overturns Conviction a Second Time Due to Agency-Relationship Testimony

On May 3, 2018, for the second time, the Court of Appeals for the Second Circuit overturned the conviction of former Jefferies trader Jesse Litvak for alleged misstatements to an RMBS transaction counterparty.

Second Circuit Confirms that Statements of Opinion Need Not Be Accompanied by Disclosure of All Underlying Conflicting Information

• May 03, 2018
• Publications

Second Circuit Confirms that Statements of Opinion Need Not Be Accompanied by Disclosure of All Underlying Conflicting Information

On Tuesday, May 1, 2018, Paul, Weiss obtained a significant victory for Pretium Resources Inc. when the United States Court of Appeals for the Second Circuit affirmed dismissal of a securities fraud class action against Pretium.

U.S. Supreme Court Confirms State Court Jurisdiction Over Securities Act Class Actions

• Mar 23, 2018
• Publications

U.S. Supreme Court Confirms State Court Jurisdiction Over Securities Act Class Actions

The U.S. Supreme Court recently resolved a split among state and federal courts about whether the Securities Litigation Uniform Standards Act of 1998 divested state courts of jurisdiction over class actions asserting claims under the…

Brad Karp and Scott Barshay to Participate in Securities Litigation & Enforcement Institute Event

• Mar 14, 2018
• Events

Brad Karp and Scott Barshay to Participate in Securities Litigation & Enforcement Institute Event

Firm chairman Brad Karp and corporate partner Scott Barshay will participate in the New York City Bar’s Sixth annual Securities Litigation & Enforcement Institute.

In Recent Healthcare Fraud Lawsuit, the U.S. Department of Justice Embraces a More Expansive View of Private Equity Firm Liability for Portfolio Company Conduct

• Mar 08, 2018
• Publications

In Recent Healthcare Fraud Lawsuit, the U.S. Department of Justice Embraces a More Expansive View of Private Equity Firm Liability for Portfolio Company Conduct

The DOJ recently intervened in a healthcare fraud lawsuit against a compounding pharmacy company.  The DOJ’s decision to name the manager of the private equity fund that owned the pharmacy may signal a more expansive view of manager…

Leaders of SEC Enforcement Division Discuss Priorities and Recent Developments

• Feb 28, 2018
• Publications

Leaders of SEC Enforcement Division Discuss Priorities and Recent Developments

Senior representatives of the SEC’s Enforcement Division recently discussed enforcement priorities, developments and other issues of current interest at the Practising Law Institute’s annual “SEC Speaks” event.  Although the…

SEC Issues Updated Guidance on Cybersecurity Disclosure

• Feb 27, 2018
• Publications

SEC Issues Updated Guidance on Cybersecurity Disclosure

The SEC recently provided updated guidance on cybersecurity-related disclosure obligations.  We discuss the SEC’s new interpretive guidance, which seeks to assist companies in preparing disclosure concerning cybersecurity risks and…

Beyond Disgorgement: The Impact of Kokesh on the SEC’s Pursuit of Equitable Remedies

• Feb 23, 2018
• Publications

Beyond Disgorgement: The Impact of Kokesh on the SEC’s Pursuit of Equitable Remedies

Since the Supreme Court ruled last June in Kokesh v. SEC that disgorgement claims are subject to a five-year statute of limitations, both lower courts and the SEC have grappled with questions the Court left unresolved, including…

U.S. Supreme Court Narrows Scope of Whistleblower Anti-Retaliation Protections

• Feb 22, 2018
• Publications

U.S. Supreme Court Narrows Scope of Whistleblower Anti-Retaliation Protections

The Supreme Court held yesterday that individuals who have reported alleged misconduct internally, but not to the SEC, are not covered by the anti-retaliation provisions of the Dodd-Frank Act, resolving a circuit split on the…

Recent Decision Finds Waiver Based on “Oral Downloads” to the SEC

• Feb 14, 2018
• Publications

Recent Decision Finds Waiver Based on “Oral Downloads” to the SEC

A federal magistrate judge in the Southern District of Florida recently ruled that a law firm had waived work product protection over notes and memoranda of witness interviews when it provided “oral downloads” of those interviews to…

Second Circuit Rules That Evidence Rebutting Presumption of Reliance Need Not Be Conclusive

• Jan 17, 2018
• Publications

Second Circuit Rules That Evidence Rebutting Presumption of Reliance Need Not Be Conclusive

In Arkansas Teacher Retirement System v. Goldman Sachs Group, Inc., No. 16-250 (2d Cir. Jan. 12, 2018), the Second Circuit vacated the certification of a securities fraud class action due to two errors by the district court in its…

Daniel Levi to Speak at Mexican Bar Association Conference on Class Action Litigation

• Jan 17, 2018
• Events

Daniel Levi to Speak at Mexican Bar Association Conference on Class Action Litigation

Litigation counsel Daniel Levi will participate in a conference focusing on class action litigation presented by the Mexican Bar Association.

Bulk of Wells Fargo Shareholder Derivative Suit Survives Motions to Dismiss

• Dec 04, 2017
• Publications

Bulk of Wells Fargo Shareholder Derivative Suit Survives Motions to Dismiss

A judge in the Northern District of California recently allowed the bulk of claims to advance in the Wells Fargo shareholder litigation.  Plaintiffs seek to hold the board liable for alleged sales practices that have received…

Second Circuit Holds That Direct Evidence of Price Impact Is Not Always Necessary to Establish Market Efficiency Under the Fraud-on-the-Market Doctrine

• Nov 09, 2017
• Publications

Second Circuit Holds That Direct Evidence of Price Impact Is Not Always Necessary to Establish Market Efficiency Under the Fraud-on-the-Market Doctrine

Recent Public Remarks by Co-Directors of SEC Enforcement Division Signal Potential Changing Enforcement Priorities

• Oct 31, 2017
• Publications

Recent Public Remarks by Co-Directors of SEC Enforcement Division Signal Potential Changing Enforcement Priorities

Recent remarks by top officials at the SEC’s Division of Enforcement suggest changes in the enforcement environment, including a de-emphasis on the “broken windows” strategy focusing on minor violations and on settlements requiring…

Andrew Ehrlich to Participate in Securities Law Enforcement Forum

• Oct 26, 2017
• Events

Andrew Ehrlich to Participate in Securities Law Enforcement Forum

Litigation partner Andrew Ehrlich will speak on a panel “Litigating Securities Fraud Cases Against the SEC and DOJ” at the annual Securities Enforcement Forum 2017. 

President Trump Announces Intent to “De-Certify” Iran’s Compliance with the Joint Comprehensive Plan of Action

• Oct 13, 2017
• Publications

President Trump Announces Intent to “De-Certify” Iran’s Compliance with the Joint Comprehensive Plan of Action

President Trump announced that he will not certify Iran’s compliance with the Joint Comprehensive Plan of Action, the multi-lateral commitment under which the United States, European Union, and five other countries agreed to lift…

Brad Karp and Ted Wells to Participate at PLI Annual Institute on Securities Regulation

• Nov 08, 2017
• Events

Brad Karp and Ted Wells to Participate at PLI Annual Institute on Securities Regulation

Firm chair Brad Karp and litigation co-chair Ted Wells will participate in panel discussions at the Practising Law Institute’s 49th Annual Institute on Securities Regulation. 

Securities Cases to Watch this Term at the Supreme Court

• Oct 03, 2017
• Publications

Securities Cases to Watch this Term at the Supreme Court

For the upcoming term, the Supreme Court is once again taking up significant securities litigation and enforcement matters. In this alert, we preview three cases already on the Court’s docket, and highlight a cert petitions of note.

Telia Agrees to $965 Million Global Foreign Bribery Resolution

• Sep 28, 2017
• Publications

Telia Agrees to $965 Million Global Foreign Bribery Resolution

U.S. authorities recently announced the first major FCPA settlement under the Trump administration:  a $965 million global resolution with a Sweden-based telecommunications company Telia Company AB and its indirectly-owned Uzbek…

The Impact of CalPERS v. ANZ Securities on Securities Litigation

• Sep 18, 2017
• Videos

The Impact of CalPERS v. ANZ Securities on Securities Litigation

In CalPERS v. ANZ Securities, the Supreme Court ruled that the filing of a class action does not toll the Securities Act’s three-year statute of repose. 

Divided Second Circuit Panel Overrules Prior Newman Insider Trading Decision

• Aug 25, 2017
• Publications

Divided Second Circuit Panel Overrules Prior Newman Insider Trading Decision

On Wednesday, in United States v. Martoma, the United States Court of Appeals for the Second Circuit overruled its own 2014 decision in United States v. Newman and altered the standard for determining whether the personal benefit…

ISDA Publishes T+2 Settlement Protocol

• Aug 08, 2017
• Publications

ISDA Publishes T+2 Settlement Protocol

Recently, the International Swaps and Derivatives Association published the ISDA 2017 OTC Equity Derivatives T+2 Settlement Cycle Protocol, the newest installment of ISDA’s mechanism aimed at facilitating the multilateral and…

Second Circuit Holds That Ascertainability Requirement Of Class Certification Does Not Include “Administrative Feasibility” And That Extraterritoriality Issues Can Preclude Predominance

• Jul 10, 2017
• Publications

Second Circuit Holds That Ascertainability Requirement Of Class Certification Does Not Include “Administrative Feasibility” And That Extraterritoriality Issues Can Preclude Predominance

In a July 7 decision with significant implications for the global OTC market, the Second Circuit addressed the standards for certifying classes in securities fraud cases.  In In re Petrobras Securities Litigation, the Second Circuit…

Kokesh Raises Questions About Declinations with Disgorgement Under the FCPA Pilot Program

• Jun 29, 2017
• Publications

Kokesh Raises Questions About Declinations with Disgorgement Under the FCPA Pilot Program

The U.S. Department of Justice recently declined to prosecute two U.S. subsidiaries of a German chemical company while requiring them to disgorge profits from the allegedly corrupt scheme, the third declination requiring disgorgement…

U.S. Supreme Court Rules That Class Action Tolling Does Not Apply to Statutes of Repose

• Jun 27, 2017
• Publications

U.S. Supreme Court Rules That Class Action Tolling Does Not Apply to Statutes of Repose

In a decision likely to have significant ramifications for federal securities litigation, the U.S. Supreme Court ruled on June 26 that the class action tolling doctrine established in American Pipe & Construction Co. v. Utah does…

Audra Soloway to Participate in Duke Law Conference, “Emerging Issues in Securities Class Actions”

• Jul 20, 2017
• Events

Audra Soloway to Participate in Duke Law Conference, “Emerging Issues in Securities Class Actions”

Litigation partner Audra Soloway will speak at an invitation-only conference, “Emerging Issues in Securities Class Actions,” hosted by the Duke Law Center for Judicial Studies. 

U.S. Supreme Court Holds That Five-Year Statute of Limitations Applies to Claims for Disgorgement Brought by the SEC

• Jun 06, 2017
• Publications

U.S. Supreme Court Holds That Five-Year Statute of Limitations Applies to Claims for Disgorgement Brought by the SEC

On June 5, the Supreme Court unanimously held that SEC claims for disgorgement are governed by a five-year statute of limitations. The Court rejected the SEC’s position that the claims are not subject to time limits. The decision…

Susanna Buergel, Andrew Ehrlich and Audra Soloway Co-Author Law360 Article

• May 24, 2017
• Publications

Susanna Buergel, Andrew Ehrlich and Audra Soloway Co-Author Law360 Article

Litigation partners Susanna Buergel, Andrew Ehrlich and Audra Soloway co-authored an “Expert Analysis” special series article for Law360.

Richard Rosen to Participate in Roundtable on Recent Developments in Securities Class Actions

• May 11, 2017
• Events

Richard Rosen to Participate in Roundtable on Recent Developments in Securities Class Actions

Litigation partner Richard Rosen will address recent developments in securities class actions in a roundtable discussion hosted by the American Bar Association’s Section of Litigation.

Supreme Court to Examine Key Question of Securities Fraud Liability Based Solely on Omissions

• Mar 30, 2017
• Publications

Supreme Court to Examine Key Question of Securities Fraud Liability Based Solely on Omissions

Earlier this week, the Supreme Court agreed to hear an important securities case addressing the scope of federal securities law claims based solely on omissions of material information. Petitioners in the case, Leidos, Inc. v. Indiana …

Brad Karp to Participate at PLI’s Securities Litigation Seminar

• Apr 05, 2017
• Events

Brad Karp to Participate at PLI’s Securities Litigation Seminar

Firm chair Brad Karp will participate in a panel discussion at the Practising Law Institute’s “Securities Litigation 2017: From Investigation to Trial” seminar.

Brad Karp, Lorin Reisner, Richard Tarlowe and Edward Turan to Speak at SIFMA’s Compliance and Legal Society Annual Seminar

• Mar 19, 2017
• Events

Brad Karp, Lorin Reisner, Richard Tarlowe and Edward Turan to Speak at SIFMA’s Compliance and Legal Society Annual Seminar

Litigation partners Brad Karp, Lorin Reisner, Richard Tarlowe and counsel Edward Turan will speak at the 2017 SIFMA Compliance and Legal Society’s Annual Seminar—the securities industry’s premiere event.

The D&O Diary Reviews Updated Deskbook on Federal Securities Litigation

• Feb 21, 2017
• Publications

The D&O Diary Reviews Updated Deskbook on Federal Securities Litigation

Litigation partners Daniel Kramer and Audra Soloway are co-authors of the recently updated "Federal Securities Litigation: A Deskbook for the Practitioner" which was favorably reviewed by Kevin LaCroix, author of the Internet…

President and Congress Eliminate SEC Resource Extraction Rule

• Feb 15, 2017
• Publications

President and Congress Eliminate SEC Resource Extraction Rule

On February 14, President Trump signed a joint resolution of Congress passed under the Congressional Review Act eliminating an SEC rule requiring resource extraction issuers to disclose payments made to the U.S. or foreign…

Brad Karp to Participate at Annual Securities Litigation & Enforcement Institute

• Mar 01, 2017
• Events

Brad Karp to Participate at Annual Securities Litigation & Enforcement Institute

Firm chair Brad Karp will speak on recent developments in securities class actions at the New York City Bar's 5th Annual Securities Litigation & Enforcement Institute. 

Client Alert: SEC Lists the Five Most Frequent Compliance Topics Identified in Examinations of Investment Advisers

• Feb 08, 2017
• Publications

Client Alert: SEC Lists the Five Most Frequent Compliance Topics Identified in Examinations of Investment Advisers

On February 7, the SEC's Office of Compliance Inspections and Examinations identified five areas of compliance deficiencies or weaknesses frequently found during the staff's examinations of registered investment advisers. In the…

Client Alert: Supreme Court Nominee Has Taken Skeptical View of Private Securities Fraud Litigation, Agency Deference

• Feb 02, 2017
• Publications

Client Alert: Supreme Court Nominee Has Taken Skeptical View of Private Securities Fraud Litigation, Agency Deference

On January 31, President Donald J. Trump nominated Tenth Circuit Judge Neil Gorsuch for the Supreme Court seat vacated by the death of Justice Antonin Scalia nearly a year ago. Though his judicial record in private securities…

Client Alert: Second Circuit Holds that Trust Indenture Act 316(b) Prohibits Only Non-Consensual Amendments to Core Payment Terms of Bond Indentures

• Jan 18, 2017
• Publications

Client Alert: Second Circuit Holds that Trust Indenture Act 316(b) Prohibits Only Non-Consensual Amendments to Core Payment Terms of Bond Indentures

On January 17, 2017, the Court of Appeals for the Second Circuit issued its long-anticipated opinion in Marblegate Asset Management, LLC v. Education Management Finance Corp., ruling that Section 316(b) of the Trust Indenture…

Client Alert: U.S. Supreme Court To Review Ruling That Class Action Tolling Does Not Apply to Statutes of Repose

• Jan 17, 2017
• Publications

Client Alert: U.S. Supreme Court To Review Ruling That Class Action Tolling Does Not Apply to Statutes of Repose

On January 13, 2017, the U.S. Supreme Court agreed to review a decision from the U.S. Court of Appeals for the Second Circuit holding that the class action tolling doctrine established in American Pipe & Construction Co. v.…

U.S. Supreme Court to Review Whether Statute of Limitations Applies to SEC Disgorgement Claims

• Jan 17, 2017
• Publications

U.S. Supreme Court to Review Whether Statute of Limitations Applies to SEC Disgorgement Claims

On January 13, 2017, the Supreme Court granted certiorari in Kokesh v. Securities and Exchange Commission (U.S. Jan. 13, 2017) (No. 16-529) to determine whether disgorgement claims are subject to the five-year statute of limitations…

Client Alert: Supreme Court Reaffirms Dirks, Confirms that a Gift of Information to a Trading Relative or Friend Satisfies Personal Benefit Requirement for Insider Trading

• Dec 07, 2016
• Publications

Client Alert: Supreme Court Reaffirms Dirks, Confirms that a Gift of Information to a Trading Relative or Friend Satisfies Personal Benefit Requirement for Insider Trading

In its first opinion on the scope of insider trading liability in nearly twenty years, the Supreme Court in Salman v. United States addressed whether insider trading liability can arise where a tipper makes a "gift" of…

Client Alert: Second Circuit Holds That Parties to Standard Lock-Up Agreements in IPOs Do Not Form a “Group” for Section 13(d) and Section 16(b) Purposes

• Nov 08, 2016
• Publications

Client Alert: Second Circuit Holds That Parties to Standard Lock-Up Agreements in IPOs Do Not Form a “Group” for Section 13(d) and Section 16(b) Purposes

A Second Circuit decision on November 3 in Lowinger v. Morgan Stanley rejected a theory that would have impeded the normal process by which trading of newly issued IPO shares is stabilized. In its November 3 ruling, the court…

Client Alert: SEC Staff Issues Interpretive Guidance on Rule 144 Holding Period for Common Stock in UP-C Structures

• Nov 03, 2016
• Publications

Client Alert: SEC Staff Issues Interpretive Guidance on Rule 144 Holding Period for Common Stock in UP-C Structures

On November 1, 2016, the staff of the Securities and Exchange Commission's Division of Corporation Finance issued an interpretive letter concluding that, for purposes of Rule 144 of the Securities Act, the holding period for…

Litigation Partners Co-Author Article on the D.C. Circuit’s Decision on CFPB’s Constitutionality

• Oct 31, 2016
• Publications

Litigation Partners Co-Author Article on the D.C. Circuit’s Decision on CFPB’s Constitutionality

Firm chair Brad Karp and litigation partners Roberto Gonzalez, Susanna Buergel, Jane O'Brien and Elizabeth Sacksteder co-authored an article entitled, "D.C. Circuit Finds Single-Director Structure of the CFPB Unconstitutional."

Client Alert: What to Look for in Tomorrow’s Supreme Court Argument in Key Insider Trading Case

• Oct 04, 2016
• Publications

Client Alert: What to Look for in Tomorrow’s Supreme Court Argument in Key Insider Trading Case

For the first time in nearly twenty years, the United States Supreme Court will hear oral argument tomorrow in a case directly addressing the scope of insider trading liability.

In Vivendi Appeal, Second Circuit Rejects Challenge to “Price Maintenance” Theory of Price Impact

• Sep 30, 2016
• Publications

In Vivendi Appeal, Second Circuit Rejects Challenge to “Price Maintenance” Theory of Price Impact

On September 27, 2016, in related appeals arising from a long-pending securities fraud class action against Vivendi, the Second Circuit ruled on several important issues, including the proof necessary to both sustain and defeat…

Brad Karp and Lorin Reisner to Participate in PLI’s Annual Institute on Securities Regulation

• Nov 02, 2016
• Events

Brad Karp and Lorin Reisner to Participate in PLI’s Annual Institute on Securities Regulation

Firm chair Brad Karp and litigation partner Lorin Reisner will participate in the Practising Law Institute's 48th Annual Institute on Securities Regulation. 

Client Alert: Second Circuit Holds an Employer’s ERISA-Regulated Benefit Plans Are Not “Affiliates” of the Employer-Sponsor for Class Settlement Purposes; Splits with Seventh Circuit

• Sep 23, 2016
• Publications

Client Alert: Second Circuit Holds an Employer’s ERISA-Regulated Benefit Plans Are Not “Affiliates” of the Employer-Sponsor for Class Settlement Purposes; Splits with Seventh Circuit

The Second Circuit's September 20 decision in In re American International Group, Inc. Securities Litigation, No. 14‐4067(L) will likely have consequences in the negotiation of class action securities settlement agreements.

Client Alert: Second Circuit Expands the IndyMac Rule

• Jul 22, 2016
• Publications

Client Alert: Second Circuit Expands the IndyMac Rule

In two recent federal securities fraud actions stemming from the 2008 financial crisis, the Second Circuit has affirmed that statutes of repose

Mark Bergman and David Lakhdhir Co-Author Article on Effects of Brexit on Public Disclosure Obligations

• Jul 12, 2016
• Publications

Mark Bergman and David Lakhdhir Co-Author Article on Effects of Brexit on Public Disclosure Obligations

London-based corporate partners Mark Bergman and David Lakhdhir co-authored a client memorandum, titled "Brexit: Disclosure Implications for SEC Reporting Companies," that was featured in the July issues of Insights: The…

Litigation Partners Author Article on New York’s New AML and Sanctions Requirements

• Jul 10, 2016
• Publications

Litigation Partners Author Article on New York’s New AML and Sanctions Requirements

Firm chair Brad Karp and litigation partners Roberto Gonzalez, Michael Gertzman, Jessica Carey and Roberto Finzi co-authored a client memorandum that was featured on the Harvard Law School Forum on Corporate Governance and…

SEC Proposes Rules on Business Continuity and Transition Plans for Investment Advisers

• Jul 13, 2016
• Publications

SEC Proposes Rules on Business Continuity and Transition Plans for Investment Advisers

On June 28, 2016, the Securities and Exchange Commission (the "SEC") proposed a new rule [1] requiring SEC registered investment advisers ("advisers") to adopt and implement a business continuity and transition plan (a "BCTP") to …

Brexit: Disclosure Implications for SEC Reporting Companies

• Jul 12, 2016
• Publications

Brexit: Disclosure Implications for SEC Reporting Companies

In the short period since the June 23 UK referendum on whether to remain in, or leave, the European Union, the United Kingdom has faced a remarkable range of political, monetary, economic  and even constitutional…

Susanna Buergel Profiled in Law360’s “Influential Women in Securities Law”

• Jul 01, 2016
• Publications

Susanna Buergel Profiled in Law360’s “Influential Women in Securities Law”

Litigation partner Susanna Buergel was profiled in Law360's "Influential Women in Securities Law" for, among other things, her work with Citigroup to reach a settlement with the U.S. Securities and Exchange Commission…

New York DFS Finalizes Stringent Anti-Money Laundering and Sanctions Regulation

• Jul 01, 2016
• Publications

New York DFS Finalizes Stringent Anti-Money Laundering and Sanctions Regulation

Following Maria Vullo's confirmation as Superintendent earlier this month, the New York Department of Financial Services ("DFS") yesterday finalized its closely watched proposed regulation on anti-money laundering (AML) monitoring and …

Brexit: What Comes Next? What Are the Potential Consequences?

• Jul 06, 2016
• Publications

Brexit: What Comes Next? What Are the Potential Consequences?

On June 23, 2016 voters in the United Kingdom were asked in a referendum whether the UK should remain a member of the European Union or leave the EU.  By a vote of 51.9% to 48.1%, the voters opted to leave.

Client Memo: A Guide to the Supreme Court’s Notable Decisions this Term

• Jun 28, 2016
• Publications

Client Memo: A Guide to the Supreme Court’s Notable Decisions this Term

The Supreme Court's 2015-2016 Term will be remembered for the unexpected death of Justice Antonin Scalia on February 13, 2016.

SEC Increases “Qualified Client” Net Worth Threshold

• Jun 17, 2016
• Publications

SEC Increases “Qualified Client” Net Worth Threshold

On June 14, 2016, the U.S. Securities and Exchange Commission increased the net worth test threshold for "qualified clients" under Rule 205-3 of the Investment Advisers Act of 1940, as amended, from $2 million to $2.1 million.

Walter Rieman, Audra Soloway and Andrew Ehrlich Co-Author Article on American Pipe Tolling in Law360

• Jun 02, 2016
• Publications

Walter Rieman, Audra Soloway and Andrew Ehrlich Co-Author Article on American Pipe Tolling in Law360

Litigation partners Walter Rieman, Audra Soloway and Andrew Ehrlich co-authored an article, titled "A Majority on American Pipe Tolling Emerges," in the June 2 issue of Law360.

Client Alert: Second Circuit Rules That Constitutional Challenge to Appointment of SEC Administrative Law Judges Must Be Adjudicated During Review of SEC’s Final Order, and Not in a Separate District Court Lawsuit

• Jun 03, 2016
• Publications

Client Alert: Second Circuit Rules That Constitutional Challenge to Appointment of SEC Administrative Law Judges Must Be Adjudicated During Review of SEC’s Final Order, and Not in a Separate District Court Lawsuit

Tilton v. SEC, No. 15-2103 (2d Cir. June 1, 2016), arose from an action in federal district court brought by Lynn Tilton and her investment firms ("Tilton"), who were respondents in an ongoing administrative proceeding before the…

Client Alert: Second Circuit Strikes Down Imposition of $1.27 Billion FIRREA Penalty, Holds That Government Failed to Prove Countrywide Acted with Fraudulent Intent

• May 31, 2016
• Publications

Client Alert: Second Circuit Strikes Down Imposition of $1.27 Billion FIRREA Penalty, Holds That Government Failed to Prove Countrywide Acted with Fraudulent Intent

On May 23, 2016, the United States Court of Appeals for the Second Circuit reversed a jury's finding of liability and the district court's imposition of a $1.27 billion civil penalty on Countrywide and related defendants…

Client Alert: Eleventh Circuit Applies Five-Year Statute of Limitations to Claims for Disgorgement and Declaratory Relief, Creating a Circuit Split

• May 31, 2016
• Publications

Client Alert: Eleventh Circuit Applies Five-Year Statute of Limitations to Claims for Disgorgement and Declaratory Relief, Creating a Circuit Split

In SEC v. Graham, No. 14-13562 (11th Cir. May 26, 2016), the Eleventh Circuit held that the five-year statute of limitations applicable to SEC enforcement proceedings under 28 U.S.C. § 2462 applies to disgorgement and declaratory…

Client Alert: The Sixth Circuit, in Agreement with the Second Circuit, Holds That American Pipe Tolling Does Not Apply to Statutes of Repose

• May 25, 2016
• Publications

Client Alert: The Sixth Circuit, in Agreement with the Second Circuit, Holds That American Pipe Tolling Does Not Apply to Statutes of Repose

On Friday, in Stein v. Regions Morgan Keegan Select High Income Fund, Inc., Nos. 15-5903, 15-905, 2016 WL 2909333 (6th Cir. May 19, 2016), the Sixth Circuit ruled that the tolling doctrine established by American Pipe & …

Client Alert: Supreme Court Rejects Federal Jurisdiction Over State Law Claims That Do Not Necessarily Raise Exchange Act Issues

• May 16, 2016
• Publications

Client Alert: Supreme Court Rejects Federal Jurisdiction Over State Law Claims That Do Not Necessarily Raise Exchange Act Issues

In Merrill Lynch, Pierce, Fenner & Smith Inc. v. Manning, No. 14-1132 (May 16, 2016), the Supreme Court held that the provision of exclusive federal jurisdiction in the Securities Exchange Act of 1934 ("Exchange Act") does…

Client Alert: U.S. District Court in New Jersey Rules That the Two-Year Limitations Period for Suits to Recover Short-Swing Profits Under Section 16(b) of the Securities Exchange Act of 1934 Is a Statute of Repose That Is Not Subject to Tolling

• May 10, 2016
• Publications

Client Alert: U.S. District Court in New Jersey Rules That the Two-Year Limitations Period for Suits to Recover Short-Swing Profits Under Section 16(b) of the Securities Exchange Act of 1934 Is a Statute of Repose That Is Not Subject to Tolling

Last week, a judge in the United States District Court for the District of New Jersey ruled on an issue that has remained unresolved since the United States Supreme Court split 4-4 on it four years ago:  whether the two-year …

Client Alert: CFPB Proposes a Ban on Arbitration Clauses That Prevent Class Action Litigation

• May 09, 2016
• Publications

Client Alert: CFPB Proposes a Ban on Arbitration Clauses That Prevent Class Action Litigation

On May 5, 2016, the Consumer Financial Protection Bureau (CFPB) released a 377-page notice of proposed rulemaking that would prohibit, going forward, banks and a variety of other companies from including in contracts arbitration…

Client Alert: Eighth Circuit Interprets Halliburton II, Holding That Defendants Successfully Rebutted Fraud-on-the-Market Presumption of Reliance by Showing that the Alleged Misstatements Did Not Cause a Stock-Price Increase

• Apr 13, 2016
• Publications

Client Alert: Eighth Circuit Interprets Halliburton II, Holding That Defendants Successfully Rebutted Fraud-on-the-Market Presumption of Reliance by Showing that the Alleged Misstatements Did Not Cause a Stock-Price Increase

On April 12, 2016, in IBEW Local 98 Pension Fund v. Best Buy Co., Inc.,  the Eighth Circuit interpreted and applied the Supreme Court's decision in Halliburton Co. v. Erica P. John Fund, Inc. ("Halliburton II"),  which …

Daniel Juceam to Speak About Class Actions at ABA’s Annual Litigation Meeting

• Apr 13, 2016
• Events

Daniel Juceam to Speak About Class Actions at ABA’s Annual Litigation Meeting

Litigation counsel Daniel Juceam will participate in a panel discussion at the American Bar Association's Litigation Section Annual Conference.

Second Circuit Interprets Omnicare Narrowly, Holding That Issuers Need Not Disclose Information Merely Because It Cuts Against Their Opinions or Projection

• Mar 09, 2016
• Publications

Second Circuit Interprets Omnicare Narrowly, Holding That Issuers Need Not Disclose Information Merely Because It Cuts Against Their Opinions or Projection

On March 4, 2016, in Tongue v. Sanofi,[1] the Second Circuit interpreted and applied for the first time the Supreme Court's decision in Omnicare Inc. v. Laborers Dist. Council Const. Indus. Pension Fund,[2] which addressed the…

Roberto Gonzalez to Speak on "Effective Strategies with State and Federal Officials" at HNBA Conference

• Mar 17, 2016
• Events

Roberto Gonzalez to Speak on "Effective Strategies with State and Federal Officials" at HNBA Conference

Litigation partner Roberto Gonzalez will participate in a panel discussion at the HNBA Corporate Counsel Conference.

FinCEN Imposes Anti-Money Laundering Reporting Requirements

• Feb 02, 2016
• Publications

FinCEN Imposes Anti-Money Laundering Reporting Requirements

The U.S. Treasury Department's Financial Crimes Enforcement Network (FinCEN) issued Geographic Targeting Orders ("GTO") imposing temporary reporting requirements on title insurers with respect to "all-cash" purchases of high-end…

Client Alert: U.S. District Court Orders Compliance Monitor’s Report Unsealed Pursuant to First Amendment Right of Public Access

• Feb 01, 2016
• Publications

Client Alert: U.S. District Court Orders Compliance Monitor’s Report Unsealed Pursuant to First Amendment Right of Public Access

On January 28, 2016, United States District Judge John Gleeson of the Eastern District of New York found that a report by a corporate compliance monitor retained to supervise HSBC under a deferred prosecution agreement ("DPA")…