Tellabs Decision Should Reduce Frivolous Fraud Suits
July 5, 2007, 12:00 AM EDT
Law360, New York (July 5, 2007, 12:00 AM EDT) -- On June 21, the United States Supreme Court issued its much anticipated decision in Tellabs Inc. v. Makor Issues & Rights, Ltd., number 06-484, 2007 U.S. LEXIS 8270 (June 21, 2007), resolving divisions among the various federal circuit courts of appeals over the threshold for pleading the intent required to state a securities fraud claim under the Private Securities Litigation Reform Act of 1995.
The Court’s 8-1 decision handed an important victory to defendants in private securities fraud lawsuits regarding what is required in order to...
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