Nine months after the enactment of securities litigation reform, courts are clarifying the new limitations set by the act
Article Abstract:
Nine months of experience with the Private Securities Litigation Reform Act of 1995 shows that public companies are rethinking their disclosure practices to allow for the impact of the act's safe harbor provisions and are mindful of the act's discovery limitations. There will also be increased attention to insider trading in the post-act environment. States are seeing the legislative discussion of securities move to their level, in California in the guise of Proposition 211 which will appear on the Nov 1996 ballot. Prop. 211 would change California law on private actions alleging securities fraud.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1996
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SEC raises the stakes in two new cases
Article Abstract:
The 1993 insider trading cases of US v Singer and SEC v Haddad show a governmental interest in institutional liability. Singer involves a diversion of corporate assets to finance an insider-trading scheme, while Haddad involves a brokerage firm which failed to deal with insider trading complaints. Haddad is also the first time the SEC used Sections 15(f) and 21A of the Securities Exchange Act to punish 'controlling persons' whose flawed supervision contributed to insider trading. Companies who suspect employee misconduct need to prevent any recurrences.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1993
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The Supreme Court has upheld the misappropriation theory, but how far the SEC will take the ruling is anything but clear
Article Abstract:
The US Supreme Court's 1997 O'Hagan ruling may free the SEC to pursue more vigorous enforcement strategies in cases of potential securities misappropriation, fraud, or insider trading. The case could affect situations involving corporate personal liability, issuer disclosures, confidentiality, and the handling of nonpublic information or marketplace rumors. Firms should continue to monitor insiders' personal trading and to use Chinese wall procedures to shield themselves.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1997
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- Abstracts: The recently enacted Securities Litigation Reform Act gives public companies a safe harbor for some predictive statements
- Abstracts: Charges fly in chip war; the defense cries foul in rare criminal trade secrets case. Big artillery nets defense win; trade secrets litigation
- Abstracts: Justices still seem split on punies. Tort reform tries one more time: Supreme Court will hear a photographer's case that may end verdict reductions
- Abstracts: Justices narrow boycott definition in Hartford ruling. Antitrust ruling does not let Microsoft off hook; consent decree decision by D.C. Circuit isn't as bad for U.S. as depicted