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Class Action Countermeasures Discussions of the Strategic Considerations Involved In Class Action Defense

Tag Archives: securities

The State of the Merger Class Action

Posted in Scholarship

Merger-challenge class actions have become very popular in the last decade. (For a great source of data, check Cornerstone Research’s surveys on the subject.) They operate similar to traditional securities class actions, but have found a way of resurrecting the sense of urgency that the Private Securities Litigation Reform Act (PSLRA) removed; they do it by… Continue Reading

Analyzing Securities Motions to Dismiss

Posted in Motions Practice, Scholarship

University of Idaho law professor Wendy Gerwick Couture has published an interesting working paper analyzing a data set of dismissal opinions from securities fraud class actions: Around the World of Securiteis Fraud in 80 Motions to Dismiss. The paper is a quick read, distilling her data into eight major observations. Among her most interesting findings: Scienter… Continue Reading

How to Get a Settlement Denied, Part 2 – Better v YRC Worldwide

Posted in Settlement

 Settlement opinions are often not that interesting. The vast majority of them are by-the-numbers approvals of proposed settlements that offer little insight about how Rule 23 works. This is especially true of preliminary approval opinions. But every once in a while, a court refuses even the preliminary approval of a settlement.  When that happens, class… Continue Reading

Overreaching, Underreaching, and the Supreme Court

Posted in Scholarship

 In the past few years, Professor Mark Moller of DePaul University Law School has proven to be one of the most thoughtful critics of modern class action law in the legal academy. While most commentators take on class action decisions from either a pro-plaintiff or pro-defendant standpoint, Professor Moller appears intent on evaluating these opinions according… Continue Reading

Forum non conveniens – Trezziova v. Kohn

Posted in Motions Practice

The Madoff Ponzi scheme had far-reaching impact. How far? At least as far as Ireland and Luxembourg, each of which produced a number of plaintiffs in Trezziova v. Kohn (2d Cir. Sep. 17, 2013). In Trezziova, investors in a number of funds (the Thema International Fund PLC [], the Herald LUX Fund, and the Primeo… Continue Reading

Whistleblowing and Superiority – Better Bounty Hunting

Posted in Certification

 It’s an odd quirk of class action practice that an automotive company defending a products-liability class will be quick to invoke the superiority of its regulator (the National Highway Traffic Safety Administration, or NHTSA), while a securities defendant will rarely–if ever–argue that the case is better handled by the SEC. (The difference may be the… Continue Reading

Behavioral Economics, Scienter, and the PSLRA

Posted in Motions Practice

 Behavioral economics (or, the application of empirical psychology to economics) has been around for more than a decade, and its teachings have begun to influence both policymaking and legal strategy. So it makes sense that at some point, someone would try to apply it to class action practice. In her article "Behavioral Science and Scienter in… Continue Reading

Confidential Witness Confidential II – City of Livonia Employee Retirement Sys. v. Boeing Corp.

Posted in Motions Practice

Two years ago, I wrote about the difficulties defendants face when securities plaintiffs invoke confidential witnesses in their complaints. The case that prompted that discussion, City of Livonia Employee Retirement System v. Boeing Corp., now has a sequel. As it turns out, both parties appealed the opinion below: the plaintiffs because the court below had… Continue Reading

Empirical Evidence of the Importance of the MTD in Securities Cases

Posted in Motions Practice

Back in January, NERA Economic Consulting published yet another interesting paper, entitled Dynamic Litigation Analysis: Predicting Securities Class Action Settlements as a Case Evolves, by Dr. Ronald Miller. Using the data NERA has collected on securities class actions over 20 years, Dr. Miller comes to some interesting conclusions about motions practice in securities cases. Most… Continue Reading