The U.S. Securities and Exchange Commission on Thursday voted to reopen the comment period for margin and capital requirements for securities-based swaps transactions mandated by Dodd-Frank, signaling renewed interest in regulations proposed as long as six years ago.
A biotechnology firm's executives misled investors about patent rejections for its star product, which sent its stock into free fall when the news went public, according to a derivative suit filed on behalf of the company in Utah federal court.
Current and former Tenet Healthcare Corp. board members have won a Texas court ruling that sends shareholders back to the drawing board on claims that the company leaders shirked their fiduciary duties by not stopping a kickback scheme that led to a $513 million False Claims Act settlement.
A pair of investors in K2M Group Holdings filed separate suits in Delaware federal court on Friday seeking to block a shareholder vote on the company's $1.4 billion merger with Stryker Corp., both saying K2M's proxy statement regarding the proposed transaction lacks material information about its financial projections.
A Massachusetts federal judge on Friday rejected a plea for acquittal and a new trial by two pharmaceutical statisticians awaiting sentencing for securities fraud, denying their argument that prosecutors improperly presented evidence of two separate stock tip conspiracies to a jury after saying they would present just one.
A New York man asked the Ninth Circuit on Thursday to revive litigation alleging Franklin Resources Inc. owes him more than $100 million in shares that went missing on the company's watch, saying a lower court erred in finding he knew of his rights more than 20 years before filing suit.
Fidelity Investments has asked the First Circuit to uphold a jury verdict absolving the company of terminating a finance director who won whistleblower protections from the U.S. Supreme Court then lost her claims of retaliation at trial, calling for the end of the former employee’s decade-old lawsuit.
A New York federal magistrate judge on Thursday granted Chaitman LLP and Becker & Poliakoff LLP's motion for a stay on deposition discovery in a suit by victims of Bernie Madoff against their former attorney, saying it is appropriate given the costs of the deposition and the firms' pending motions to dismiss.
Lieff Cabraser Heimann & Bernstein LLP told a Massachusetts federal judge late Thursday it should not have to continue paying for a multimillion-dollar probe into a $75 million attorney fee awarded following a settlement with State Street Corp., arguing much of the money has been spent looking into conduct tied to its fellow class counsel, Labaton Sucharow LLP.
An economist panned cryptocurrency and its related blockchain technology as overhyped scams before the Senate Banking Committee on Thursday, offering testimony that was countered by an advocate who praised these innovations as on par with the birth of the internet.
A group of current and former Wells Fargo workers asked the Eighth Circuit on Wednesday to revive a proposed Employee Retirement Income Security Act class action accusing the bank of improperly investing employees’ retirement savings in company stock even as share prices tumbled amid a fraud scandal.
An investor in Stitch Fix Inc. filed a proposed class action in California federal court Thursday alleging that the online retail fashion company concealed a flagging fourth-quarter active client growth rate, leading to an artificially inflated stock price that took a hit when the company released its financials this month.
A former co-owner of Newsweek and people and entities linked to him who are charged in a $10 million bank fraud scheme pled not guilty in a New York courtroom Thursday, claiming the case was retribution by Manhattan District Attorney Cyrus Vance Jr. for negative news coverage.
The trustee of bankrupt children’s tablet maker Fuhu Inc. has asked the Delaware bankruptcy court to approve a $2.5 million settlement to end a lawsuit in which the trustee alleged the company’s co-founder and its CEO drove it into Chapter 11 with a pump-and-dump scheme.
A former Jefferies LLC metals trader didn't do enough to maintain a suit alleging his supervisor encouraged him to pursue trades the firm wouldn't approve, which then led to his firing, the Seventh Circuit held Thursday.
An insider trading task force of the sort proposed by former Manhattan U.S. Attorney Preet Bharara earlier this week could bring much-needed clarity to the law by defining key aspects such as personal benefit and materiality, experts say.
A Massachusetts federal judge Thursday questioned the merits of a shareholder's demand that he halt corporate restructuring by the biopharmaceutical firm Sinovac amid a dispute over an alleged hostile takeover of the company's board of directors on the Caribbean island of Antigua.
The U.S. Securities and Exchange Commission has blocked an upcoming initial coin offering after alleging in California federal court that the company behind it falsely claimed it received regulatory approval from not only the SEC but also a fictitious agency called the Blockchain Exchange Commission.
A fiber optics and laser company purposely misled shareholders and concealed flaws in its devices, which led to a significant drop in stock prices when the information became public knowledge, an investor alleged in a proposed class action filed in Texas federal court.
A former Florida attorney who was apprehended in Mexico this summer pled guilty in federal court on Wednesday to a fraud charge related to his role in an investment scheme that duped 770 investors out of more than $21 million.
To attract talent in a competitive market, some employers may add creative stock and bonus compensation programs to thier benefits packages. They should keep in mind that adding stock options can trigger a multitude of legal rules and restrictions, say Amy Bowler and Beth Nedrow of Holland & Hart LLP.
The balancing act between protecting attorneys’ speech rights and ensuring unbiased adjudications was highlighted recently in two cases — when Michael Cohen applied for a restraining order against Stephanie Clifford's attorney, and when Johnson & Johnson questioned whether a Missouri talc verdict was tainted by public statements from the plaintiffs' counsel, says Matthew Giardina of Manning Gross & Massenburg LLP.
In June 2019, the Federal Housing Finance Agency will require Freddie Mac and Fannie Mae to begin issuing standardized mortgage-backed securities. Accordingly, the IRS last month encouraged Freddie Mac investors to convert their existing securities by stating that conversions won't trigger taxable gains or losses, say Mark Leeds and Steven Garden of Mayer Brown LLP.
In Sheppard Mullin v. J-M Manufacturing Co., the California Supreme Court ruled last month that a law firm's failure to disclose a known conflict with another current client did not categorically disentitle the firm from recovering fees. But the court didn’t provide hoped-for guidance on how to write an enforceable advance conflict waiver, says Richard Rosensweig of Goulston & Storrs PC.
Two court decisions within the past year have simplified the process for bringing derivative claims outside the Cayman Islands on behalf of Cayman companies, as shareholders no longer need permission from a Cayman court. However, such claims still face two difficulties, say Peter McMaster and Anna Snead of Appleby.
In this monthly series, Amanda Brady of Major Lindsey & Africa interviews management from top law firms about the increasingly competitive business environment. Here we feature Melanie Green, chief client development officer at Faegre Baker Daniels LLP.
Following the 2008 economic downturn, many observers blasted mortgage-backed securities and collateralized debt obligations. Today, we're hobbled with numerous regulations that stem from a fundamental misunderstanding of what these instruments were designed to do, says Edward Stringham of the American Institute for Economic Research.
Given a number of changes to the regulatory landscape in recent months, public companies should consider planning for the upcoming proxy season early. The U.S. Securities and Exchange Commission has been particularly active adopting rules and regulations in areas that substantially impact annual reporting, say attorneys with Stinson Leonard Street LLP.
In response to the Delaware Chancery Court’s invitation earlier this year seeking expert opinions on market efficiency, we propose several tests to empirically assess the reliability of market price in appraising fair value, say Dirk Hackbarth of Boston University and Bin Zhou of The Brattle Group.
Starting next year, municipal issuers will need to report the incurrence of certain financial obligations, if material. However, the U.S. Securities and Exchange Commission has offered little guidance on how to make a materiality determination, says Laura Kurtz of Eckert Seamans Cherin & Mellott LLC.