Mealey's Securities

  • August 28, 2026

    5th Circuit Finds SEC’s Denial Of Settlement Modification Not Arbitrary

    NEW ORLEANS — A Fifth Circuit U.S. Court of Appeals panel denied a broker-dealer’s petition for review of the Securities and Exchange Commission’s denial of the broker-dealer’s motion to modify a settlement between the SEC and the broker-dealer, finding that while the settlement the parties entered into was more stringent than later similar settlements, the inequality alone does not make the denial arbitrary and capricious.

  • August 28, 2026

    SEC Proposes Crypto Asset Investment Contract Regulatory Framework

    WASHINGTON, D.C. — The Securities and Exchange Commission proposed new rules, titled Regulation Crypto Assets, in a new regulatory framework that would, among other things, establish registration exemptions and a conditional safe harbor for certain investment contracts that involve crypto assets.

  • August 27, 2026

    6th Circuit Revives Securities Fraud Action Against Freddie Mac

    CINCINNATI — The Sixth Circuit U.S. Court of Appeals found that a lower court erred when it rejected a pension fund’s price-maintenance theory, denied class certification and granted summary judgment to Federal Home Loan Mortgage Corp. (Freddie Mac), reviving the pension fund’s nearly two-decade-long securities fraud suit against Freddie Mac.

  • August 27, 2026

    9th Circuit Finds Investor Failed To Plead Loss Causation In Merger Suit

    PASADENA, Calif. — A Ninth Circuit U.S. Court of Appeals panel affirmed the dismissal of a securities action challenging a technology development company’s merger with another company, holding that the investors did not adequately plead loss causation because the alleged economic harm from shareholders’ purported rejection of the tender offer was too speculative.

  • August 27, 2026

    1st Circuit Affirms Dismissal Of Securities Fraud Case Over Alleged Half-Truths

    BOSTON — A First Circuit U.S. Court of Appeals panel affirmed a lower court’s dismissal of investors’ case against a biopharmaceutical company, holding that investors had no actionable securities fraud claim against the defendants because the company and CEO did not make any materially misleading statements about the findings of two clinical trials for a drug the company was producing.

  • August 07, 2026

    Judge Finds Crypto Asset Exchange A Statutory Seller For Some, Not All, Transactions

    NEW YORK — A federal judge in New York found that a crypto asset exchange was a statutory seller under Section 12(a)(1) of the Securities Act of 1933 only when it sold tokens from its own inventory but not when it matched customer buy and sell orders, partially resolving a threshold issue in exchange users’ putative class action alleging that the company sold unregistered securities.

  • August 07, 2026

    4th Circuit Reverses Class Certification In Stock-Drop Suit Against Boeing

    RICHMOND, Va. — A Fourth Circuit U.S. Court of Appeals panel reversed a lower court’s decision to certify a class of investors in their suit against The Boeing Co. and its former officials over alleged misstatements about the company’s emphasis on safety that artificially inflated the company’s stock price, finding that the investors did not provide a damages methodology tied to their theory of liability, as required by Comcast Corp. v. Behrend.

  • August 07, 2026

    Judge Allows Investors’ Suit Over REIT Proxy Disclosures To Proceed

    TRENTON, N.J. — A federal judge in New Jersey denied a motion to dismiss investors’ putative class complaint alleging that three real estate investment trusts (REITs) and their external advisers and directors misled shareholders through proxy statements that omitted material information about charter amendments delaying liquidation and benefiting the REITs’ controlling executive, finding the omissions to be material.

  • August 07, 2026

    Investors Appeal Dismissal Of SLUSA Claims Against Meta

    SAN FRANCISCO — Investors in two related cases filed notices of appeal after a federal judge in California dismissed their claims that Meta Platforms Inc. facilitated pump-and-dump investment schemes advertised on its Facebook and Instagram platforms, ruling in a single order that the claims were barred by the Securities Litigation Uniform Standards Act of 1998 (SLUSA).

  • August 07, 2026

    Judge Dismisses Investors’ Fraud Claims, Allows Final Amendment

    CHICAGO — A federal judge in Illinois granted a motion to dismiss fraud claims and claims sounding in fraud filed against an individual defendant and corporate defendant in a case brought by investors alleging that several individuals and two corporate defendants misrepresented the nature and profitability of investment securities involving cryptocurrency and other investments, finding that the investors failed to specify each defendant’s participation in the alleged fraud.

  • August 06, 2026

    Judge Denies New Motion To Reconsider Ruling In Cryptocurrency Sale Dispute

    ORLANDO, Fla. — A federal judge in Florida denied a new motion filed by the co-founder of a cryptocurrency foundation company seeking reconsideration of a ruling granting partial summary judgment to investors who sued the co-founder and the company over allegations that they sold the cryptocurrency without filing a registration statement, finding that a joint interpretation regarding the application of federal securities laws to certain types of crypto assets issued by the Securities and Exchange Commission and the Commodity Futures Trading Commission does not constitute an intervening change in law that would call for reconsideration of the order.

  • August 06, 2026

    Appellate Panel: No Jurisdiction In Investors’ Suit Against Irish Company

    NEW YORK — A Second Circuit U.S. Court of Appeals panel found that a complaint filed by investors in an Irish company against the company and its president for alleged fraudulent inducement was properly dismissed because the lower court correctly found that the company’s and its president’s contacts with New York were not sufficient to establish specific personal jurisdiction.

  • August 05, 2026

    10th Circuit Affirms Dismissal Of Broker’s SEC Rule 17a-8 APA Challenge

    DENVER — A 10th Circuit U.S. Court of Appeals panel affirmed a lower court’s dismissal of a broker-dealer’s suit against the Securities and Exchange Commission claiming that the SEC violated the Administrative Procedure Act (APA) by using a commission rule to impose Bank Secrecy Act requirements on broker-dealers, finding that the broker-dealer did not identify an unlawful final agency action as required under the APA.

  • July 24, 2026

    COMMENTARY: Goldman Sachs Group, Inc. v. Arkansas Teacher Retirement System: Defendants’ Second Line Of Defense In Securities Class Actions

    By Douglas W. Greene, Zachary R. Taylor and Carla Caliendo

  • August 04, 2026

    Elon Musk Appeals Order Mostly Upholding Verdict In Stock-Price Manipulation Case

    SAN FRANCISCO — Elon Musk filed a notice in a California federal court that he was appealing to the Ninth Circuit U.S. Court of Appeals an order mostly upholding a jury’s verdict against him in a class action brought by investors in the company formerly known as Twitter who say that Musk attempted to manipulate the company’s stock price before his takeover.

  • August 03, 2026

    9th Circuit Remands Equitable Indemnity Claim In Stock Transfer Dispute

    SAN FRANCISCO — The Ninth Circuit U.S. Court of Appeals ruled that a stock purchaser was permitted to seek equitable indemnity for its alleged conversion in a third-party complaint against an administrative agent and broker over their alleged negligence in handling a stock transfer, finding that under California law, conversion is a strict liability tort.

  • August 03, 2026

    D.C. Panel Says SEC Must Better Explain Denial Of FINRA Rulemaking Petition

    WASHINGTON, D.C. — A District of Columbia Circuit U.S. Court of Appeals panel ruled that the Securities and Exchange Commission was wrong to issue a “boilerplate” denial of a broker-dealer’s request for rulemaking to abrogate the Financial Industry Regulatory Authority’s arbitration rules, finding that the SEC must provide a more in-depth explanation for its denial.

  • July 31, 2026

    9th Circuit Affirms Lower Court’s Penalties Against Municipal Securities Adviser

    PASADENA, Calif. — A Ninth Circuit U.S. Court of Appeals panel affirmed a lower court’s summary judgment order in favor of the Securities and Exchange Commission and the remedies imposed against a municipal securities adviser and one of its founders for breaching their fiduciary duties in providing municipal advisory services, finding that the lower court was within its discretion in ordering a permanent injunction, as well as disgorgement and civil penalties.

  • July 31, 2026

    SEC Proposes New Regulation To Make E-Delivery Of Disclosures The Default

    WASHINGTON, D.C. — The Securities and Exchange Commission has proposed Regulation E-Delivery (Reg E-Delivery) to expand the ability of issuers, broker-dealers, investment advisers and others to satisfy information delivery requirements using electronic delivery.  

  • July 30, 2026

    2nd Circuit Affirms Dismissal Of Securities Fraud Suit For Lack Of Scienter

    NEW YORK — A Second Circuit U.S. Court of Appeals panel affirmed the dismissal of investors’ putative securities fraud class action against a virtual health care service provider and certain of its executives regarding alleged misstatements they made after the company’s $18.5 billion merger with another health care company, finding that the investors had not adequately alleged scienter.

  • July 29, 2026

    9th Circuit: Investor’s Claims Against Energy Company Failed To Allege Falsity

    SAN FRANCISCO — A Ninth Circuit U.S. Court of Appeals panel affirmed dismissal, finding that an investor’s securities fraud class action against a solar energy company, certain former executives and controlling entities alleging misleading statements about product defects failed to allege falsity.

  • July 15, 2026

    Delaware High Court Reverses Nearly $16M Attorney Fee Award In Investment Dispute

    NEW CASTLE, Del. — The Delaware Supreme Court affirmed a lower court’s finding that a China-based company did not prove its loyalty- and care-based fiduciary duty claims against an investment fund and its principal in a failed investment attempt and that the investment fund breached its duty of candor, but it reversed the lower court’s award of $15.83 million in attorney fees and expenses to the company because the company prevailed on only a single issue.

  • July 10, 2026

    Judge Mostly Upholds Verdict Against Musk In Stock-Price Manipulation Case

    SAN FRANCISCO — In an order on posttrial motions, a federal judge in California mostly upheld a jury’s verdict against Elon Musk in a class action brought by investors in the company formerly known as Twitter who say that Musk attempted to manipulate the company’s stock price before his takeover, granting his motion for judgment as a matter of law only as to his May 17, 2022, tweet because the investors failed to provide substantial evidence to support a finding of loss causation with respect to that tweet.

  • July 10, 2026

    Judge Dismisses Investors’ Stock-Drop Suit Against Materials Science Company

    SAN FRANCISCO — A federal judge in California dismissed without prejudice investors’ securities fraud class action against a materials science company and two of its officers for alleged misstatements regarding the company’s Chinese subsidiary that the plaintiffs alleged led to a drop in the company’s stock price, finding that the plaintiffs failed to allege scienter or loss causation.

  • July 10, 2026

    Judge Amends Judgment After 2nd Circuit Affirms Dismissal Of Securities Fraud Case

    NEW YORK — After a Second Circuit U.S. Court of Appeals panel affirmed a judge’s dismissal of an investors securities fraud class action against a digital advertising and services technology company and certain of its directors and officers alleging that the defendants committed securities fraud by making material misrepresentations about the company’s search advertising business that caused the company’s stock price to drop, a federal judge in New York issued an order amending the action to make certain clarifications.