Tellabs' Impact Varies By Judicial Circuit

Law360, New York (August 21, 2008, 12:00 AM EDT) -- When the Supreme Court handed down its Tellabs Inc. v. Makor Issues & Rights Ltd.[1] decision in June 2007, it was hailed by many commentators as an important victory for corporate defendants, helping them get securities fraud cases dismissed by tightening pleading standards.

Examination of Tellabs’ influence a year later, however, reveals a more complex picture, and a more varied impact.

In many respects, the case does help corporate defendants, but its impact varies by federal judicial circuit.

The Court required securities fraud plaintiffs to plead...
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