S&P, Moody's Can't Dodge CalPERS Suit

Law360, New York (January 12, 2012, 6:16 PM EST) -- A judge on Wednesday refused to stop a California Public Employees' Retirement System lawsuit claiming Moody's Corp. and Standard & Poor's improperly gave high ratings to structured investment vehicles, leading to as much as $1 billion in losses for the fund.

Faced with the action in California state court accusing them of negligent misrepresentation, Moody's and The McGraw Hill Cos. Inc., S&P's parent, had filed a special motion to strike under California's anti-SLAPP statute, which bars strategic lawsuits against public participation.

Judge Richard A. Kramer said...
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