Law360, New York (February 22, 2017, 11:37 AM EST) -- The villain in the fight against securities class actions is the fraud-on-the-market presumption of reliance established by the U.S. Supreme Court in 1988 in Basic Inc. v. Levinson, 485 U.S. 224 (1988). Without Basic, the thinking goes, a plaintiff could not maintain a securities class action, and without securities class actions, executives could speak their minds without worrying so much about securities law liability. In the current environment, the risk of further attacks on Basic seems high. (A general class action reform bill, the "Fairness in Class Action Litigation Act of 2017," has already been introduced in the House — analyzed by Alison Frankel here, and by Kevin LaCroix here.)...
Law360 is on it, so you are, too.
A Law360 subscription puts you at the center of fast-moving legal issues, trends and developments so you can act with speed and confidence. Over 200 articles are published daily across more than 60 topics, industries, practice areas and jurisdictions.
