Securities

  • April 11, 2024

    Investors Again Seek Asset Freeze To Enforce $60M Awards

    Two Chinese investment firms have again urged a California federal court to impose a worldwide freeze against a renewable energy company's assets as they seek to enforce about $60 million in arbitral awards, saying the company is in increasing financial distress.

  • April 11, 2024

    PCAOB Says China Focus Boosted Its '23 Enforcement Haul

    The Public Company Accounting Oversight Board said in a report released Thursday that its first China-based enforcement actions helped it rake in a record-breaking $20 million in civil penalties for auditor violations last year, a second-year record that it is already set to surpass in 2024.

  • April 11, 2024

    Crypto Trader Hit With Judgment In SEC's $4.3M Fraud Case

    A cryptocurrency trader has consented to a judgment to end a U.S. Securities and Exchange Commission suit accusing him of duping investors out of $4.3 million by falsely claiming the money would be invested in digital assets that could be obtained at a discount.

  • April 11, 2024

    Wells Fargo Wants Ex-CEO's $34M Back-Pay Suit Tossed

    Wells Fargo & Co. has asked a California state court to throw out a lawsuit filed by former CEO Timothy Sloan that seeks $34 million in compensation he alleges was wrongfully withheld from him, a payout the bank maintains it doesn't owe.

  • April 11, 2024

    REIT Hit With Suit By Ex-CEO Over Share Buyback Conflict

    A real estate investment trust has been hit with a proposed class action by its former CEO alleging the company's insiders breached their fiduciary duties by failing to make a legitimate effort to repurchase certain preferred shares prior to their redemption date, leading to severe dilution of the common shares.

  • April 11, 2024

    JPMorgan Analyst's Acquittal Sinks Stock Tip Case, Man Says

    A Los Angeles man is planning a Ninth Circuit appeal after he was found guilty of trading on privileged information supplied by a childhood friend who was an analyst at JPMorgan Securities LLC, reasoning that he could not be guilty because the friend was acquitted at a separate trial.

  • April 11, 2024

    Flopped Casino SPAC Investor Sues In Del. To Block Payout

    An investor in a special purpose acquisition company that made a doomed, $2.7 billion effort to buy a casino in the Philippines has asked Delaware's Court of Chancery to prevent the SPAC from redeeming its outstanding shares, arguing it would violate Delaware law because the SPAC is insolvent.

  • April 11, 2024

    Canadian Trucking Co. Needs More Time For US DIP Approval

    At a hearing Thursday in Delaware bankruptcy court, Canadian trucking company Pride Group was unable to reach an agreement on provisional approval of its debtor-in-possession facility that received the go-ahead in Canadian court, as the U.S. Trustee warned of the expanding scope of Chapter 15 provisional relief hearings.

  • April 11, 2024

    Odebrecht Exec Details Bribes To Ex-Ecuador Comptroller

    The former director of Odebrecht SA's operations in Ecuador told jurors Thursday that he paid millions in bribes to "Miami" — a code name for Ecuador's former comptroller — related to various infrastructure projects the Brazilian conglomerate was building in the country.

  • April 11, 2024

    Nogin Can Get Another $3M In Ch. 11 Cash To Get Plan Done

    E-commerce company Nogin Inc. received permission Thursday from a Delaware bankruptcy court to draw another $3 million in Chapter 11 financing as it continues working toward implementing its court-approved restructuring plan.

  • April 11, 2024

    Investors Get OK For $111M Ponzi Case Receiver Passed On

    A Colorado federal judge has given the green light for a group of investors to seek over $111 million from a forex-focused financial technology firm in the U.K. and its affiliate, in a lawsuit alleging they played an instrumental role in a scheme that duped investors and drew the attention of U.S. securities regulators and prosecutors.

  • April 11, 2024

    BNY Can't Nix Suit Alleging Mutual Fund Conflict Of Interest

    The Bank of New York Mellon must face most of the remaining claims in a proposed self-dealing class action alleging it failed to disclose conflicts of interest when funneling client assets into mutual funds and other investment vehicles that favored the bank.

  • April 11, 2024

    Del. Justices OK Denial Of Icahn-Illumina Midcase Appeal Bid

    Billionaire investor Carl Icahn may not put his Chancery Court litigation against biotechnology company Illumina Inc.'s board on hold for a review of a decision that struck portions of the complaint that were based on confidential information, Delaware's Supreme Court said Thursday, upholding the lower court's rejection of the midcase appeal.

  • April 11, 2024

    3 Firms Vie To Lead RTX Stockholder Suit Over Engine Cracks

    Saxena White PA and Labaton Keller Sucharow LLP on Thursday sought appointments as co-lead counsel in pension fund lawsuits alleging RTX Corp.'s stock fell when it revealed that cracks in a subsidiary's jet engines cost billions to repair, with Kaplan Fox & Kilsheimer LLP also seeking to lead the case for an individual investor.

  • April 11, 2024

    FTX Brass, Investors Can't Move Bankruptcy Suit To MDL

    The Judicial Panel on Multidistrict Litigation on Thursday denied a bid to move a Delaware bankruptcy proceeding regarding the collapse of cryptocurrency exchange FTX Trading Ltd. to an ongoing multidistrict litigation brought by the company's investors seeking to recoup their losses.

  • April 10, 2024

    Push For Bank Capital Hike Has 'Damaged' Fed, Quarles Says

    Federal regulators' Basel III endgame proposal to raise big-bank capital requirements has "damaged" the reputation of the Federal Reserve and cannot be salvaged just by watering it down, the central bank's former bank regulatory chief said Wednesday.

  • April 10, 2024

    GOP Rep. Calls On SEC To Delay Climate Rule Compliance

    A Republican congressman said Wednesday that he plans to ask the U.S. Securities and Exchange Commission to push back the compliance timeline for controversial rules governing corporate climate disclosures, indicating that the agency's agreement to temporarily stay the rules' implementation during the course of a legal challenge is not enough.

  • April 10, 2024

    SEC Says Crypto Firm Kraken Can't 'Subvert' Securities Test

    The U.S. Securities and Exchange Commission has told a California federal judge that crypto exchange Kraken is asking the court to adopt a "perversion" of the long-standing U.S. Supreme Court precedent for what constitutes an investment contract.

  • April 10, 2024

    BDO Fights SEC's 'Misdirected' Call For 2nd Circ. Rehearing

    BDO USA LLP is urging the Second Circuit not to reconsider a decision that freed the firm from private litigation over AmTrust Financial Services Inc.'s financial restatements, saying the court should not heed "misdirected concerns" from the U.S. Securities and Exchange Commission about the ruling's supposed impact on shareholders' ability to sue public company auditors.

  • April 10, 2024

    Del. Justices Probe Validity Of Advance Notice Bylaws

    The appeal of a Delaware Chancery Court decision voiding a biopharmaceutical company's "onerous" advance notice requirements for director nominations while upholding the rejection of an activist shareholder's nominees boiled down to one basic legal question at Delaware's Supreme Court Wednesday: Is this a facial or an as-applied challenge?

  • April 10, 2024

    Former SEC Small Business Office Chief Joins Mayer Brown

    The former chief of the U.S. Securities and Exchange Commission's Office of Small Business Policy has joined Mayer Brown LLP as a partner in the firm's public companies and corporate governance practice, where she will counsel startups and established public companies on their obligations under federal securities laws and related corporate governance requirements.

  • April 10, 2024

    United Airlines Hit With Chancery Suit Over Poison Pill

    A United Airlines Holdings Inc. stockholder sued the carrier and its directors in Delaware Chancery Court on Wednesday, accusing the airline of lining up a vote to preserve a prohibited, board-entrenching poison pill while publicly linking the measure to allowable protection of tax-advantaged net operating loss claims.

  • April 10, 2024

    CFTC Names New Watchdog After Whistleblower Allegations

    The Commodity Futures Trading Commission announced Wednesday that it has appointed the Federal Election Commission's inspector general to head its own independent watchdog office, following allegations his CFTC predecessor failed to protect whistleblowers within the agency.

  • April 10, 2024

    Ex-CBD Exec Says He Was Duped Into Investment

    The former chief operating officer of health goods supplier and CBD seller Premier Beauty and Health LLC told jurors Wednesday that he was misled by the company's executives — who were also his family members — into investing in a company that was less profitable and stable than he had been told.

  • April 10, 2024

    FDIC Details Prep For Winding Down Failing Financial Giants

    The Federal Deposit Insurance Corp. on Wednesday laid out its most comprehensive overview to date of how it would seek to resolve a failing U.S. banking giant, a scenario that would make use of as-yet untested authorities put in place after the 2008 financial crisis.

Expert Analysis

  • Precise Advance Notice Bylaws May Help Prevent Disputes

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    While the Chancery Court's December decision in Kellner v. AIM Immunotech shows that Delaware courts won't always uphold advance notice bylaws, and its willingness to selectively enforce or invalidate individual provisions doesn't create an incentive for companies to be surgical in their drafting, companies should nonetheless be precise when drafting such bylaws to avoid unnecessary disputes, say attorneys at Debevoise.

  • Perspectives

    6 Practice Pointers For Pro Bono Immigration Practice

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    An attorney taking on their first pro bono immigration matter may find the law and procedures beguiling, but understanding key deadlines, the significance of individual immigration judges' rules and specialized aspects of the practice can help avoid common missteps, says Steven Malm at Haynes Boone.

  • Series

    ESG Around The World: Canada

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    In Canada, multiple statutes, regulations, common law and industry guidance address environmental, social and governance considerations, with debate over ESG in the business realm potentially growing on the horizon, say attorneys at Blakes.

  • Lessons From Country Singer's Personal Service Saga

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    Recent reports that country singer Luke Combs won a judgment against a Florida woman who didn’t receive notice of the counterfeit suit against her should serve as a reminder for attorneys on best practices for effectuating service by electronic means, say attorneys at Jenner & Block.

  • How US Companies Can Wield The New Foreign Bribery Law

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    U.S. companies operating in high-risk markets can use the Foreign Extortion Prevention Act that passed last month to their advantage both in preventing bribe demands and in negotiating with the Justice Department to prevent prosecution or to receive cooperation credit, say attorneys at Squire Patton.

  • What To Expect From High Court In Corp. Disclosure Case

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    Oral argument in Macquarie v. Moab Partners — a case with the potential to significantly alter corporate disclosures and private securities litigation liability — suggests that the U.S. Supreme Court is focused on answering the narrow question presented, say Elizabeth Gingold Clark and Madeleine Juszynski Davidson at Alston & Bird.

  • New Tech, Old Tricks: How GCs Can Fight White Collar Crime

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    As emerging technologies like artificial intelligence and cryptocurrency provide bad actors with new avenues to commit classic crimes, general counsel should develop a strategy to future-proof their organizations against such threats and prepare for regulatory scrutiny, say directors at FTI Consulting.

  • Unpacking PCAOB's Sanctions Against China-Based Auditors

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    Following the Public Company Accounting Oversight Board's first major enforcement actions against audit firms located in China and Hong Kong for violating quality control standards, China-based U.S. issuers should be prepared for more rigorous audits in the upcoming cycle, and for continuing strict scrutiny from the regulator, say attorneys at Debevoise.

  • FERC Actions Signal Concern Over Investors' Utility Stakes

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    Two recent orders and a notice of inquiry from the Federal Energy Regulatory Commission on the subject of whether large investors are asserting control of public utilities signal increasing regulatory scrutiny of the investment community's influence over the electric power industry, say attorneys at Day Pitney.

  • 10 Global Antitrust Trends To Anticipate In 2024

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    Proactive navigation of the antitrust enforcement environment remains crucial this year as legal policy and tools evolve to meet intensifying global economic complexity, including geopolitical tensions, trade realignment, market volatility and inflation, say attorneys at Freshfields.

  • NY CRE Lenders Need Clarity On Foreclosure Standing

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    Recent contradictory New York case law regarding issues of standing in commercial real estate litigation creates confusion for borrowers and lenders alike, and should be addressed by courts in advance of the anticipated onslaught of commercial mortgage-backed securities foreclosures, say Christopher Gorman and John Muldoon at Rosenberg & Estis.

  • ERISA Litigation Faces New Frontiers In 2024

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    As plaintiffs firms explore novel theories for recovery and the Department of Labor attempts to broaden the definition of an investment advice fiduciary, 2024 could see new types of Employee Retirement Income Security Act litigation after just 100 class actions were filed last year, say attorneys at Groom Law.

  • Del. Ruling Guides On Advance Notice Bylaw Amendments

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    The Delaware Chancery's Court's recent denial of investment fund Paragon Technologies' injunction motion against Ocean Power Technologies underscores the importance of carefully crafting and enforcing corporate advance notice bylaw amendments, especially in light of universal proxy rules, say attorneys at Venable.

  • Series

    Baking Bread Makes Me A Better Lawyer

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    After many years practicing law, and a few years baking bread, I have learned that there are a few keys to success in both endeavors, including the assembly of a nourishing and resilient culture, and the ability to learn from failure and exercise patience, says Rick Robinson at Reed Smith.

  • Federal Courts And AI Standing Orders: Safety Or Overkill?

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    Several district court judges have issued standing orders regulating the use of artificial intelligence in their courts, but courts should consider following ordinary notice and comment procedures before implementing sweeping mandates that could be unnecessarily burdensome and counterproductive, say attorneys at Curtis.

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