Securities

  • February 21, 2018

    Wilson Sonsini Hires Ex-Associate As Securities Partner

    Wilson Sonsini Goodrich & Rosati PC will bolster its securities practice by snagging a partner at Goodwin Procter LLP who used to work at Wilson Sonsini as an associate, the firm announced Tuesday.

  • February 21, 2018

    SWS Investor Says Chancery Appeal Gave Heft To Bad Math

    Attorneys for shareholders of financial services firm SWS Group Inc. told a panel of the Delaware Supreme Court that a lower court decision significantly lowering the fair value of company shares in an appraisal action was flawed because it didn’t consider an increase in the number of SWS shares outstanding.

  • February 21, 2018

    CEO Accused Of Tipping Ex-MLB Player Gets 2nd Mistrial

    A California federal jury deadlocked Wednesday in the retrial of a former medical device company CEO on charges connected to an alleged insider trading scheme that resulted in last year’s conviction of former Major League Baseball player Doug DeCinces, prompting the judge to declare another mistrial.

  • February 21, 2018

    Sidley Austin Adds Ex-Winston & Strawn Global Finance Atty

    A financing specialist with experience working on bankruptcies and restructurings has left Winston & Strawn LLP to join Sidley Austin LLP as a partner in its Chicago office, the firm announced Wednesday.

  • February 21, 2018

    Woodbridge Seeks Ch. 11 Judge's OK For Calif. Consent Order

    The Woodbridge Group asked a Delaware bankruptcy judge late Wednesday to approve its entry into a consent order with California regulators barring the company from future securities sales, without admitting wrongdoing but also without a right to further state hearings.

  • February 21, 2018

    New Senior Can't Duck Shareholder Suit Over $640M Merger

    New Senior Investment Group’s board and its once-removed corporate overlord, Fortress Investment Group, can’t dodge a derivative suit alleging that the senior housing REIT structured a $640 million deal to benefit Fortress at the expense of its own shareholders, Delaware’s Chancery Court said Tuesday.   

  • February 21, 2018

    New SEC Cybersecurity Guidance Dinged By Dems As Rehash

    The U.S. Securities and Exchange Commission on Wednesday issued new guidance to public companies on how they should disclose their cybersecurity risks, but the effort was faulted by the agency’s Democratic commissioners, who said the SEC essentially reissued old advice without providing much new.

  • February 21, 2018

    Weil Seeks To Nip Conflict Concerns In Breitburn Ch. 11 Case

    Weil Gotshal & Manges LLP on Tuesday told a New York bankruptcy court that allegations of conflicts of interest involving the bidding for Breitburn Energy Partners LP’s assets were baseless, saying the deal being offered as evidence was with an entity unrelated to the case.

  • February 21, 2018

    Duo Settles With SEC For Selling Outlandish Patent Stocks

    Two Florida men facing fraud charges settled a related case with the U.S. Securities and Exchange Commission Wednesday, agreeing to be barred from penny stock offerings and securities trading to resolve civil claims that they pilfered $2.5 million selling penny stocks based on dubious nanotechnology patents.

  • February 21, 2018

    Walmart Again Defeats Investor Suit, Despite ‘A Closer Call’

    A New York federal judge on Wednesday rejected a bid by investors to revive their bribery suit against Walmart’s Mexican unit, saying their case still lacked false statements by the subsidiary even though it might have been "closer" to surviving dismissal in another respect.

  • February 21, 2018

    Companies May Find High Court Whistleblower Ruling Costly

    A U.S. Supreme Court ruling Wednesday narrowing the scope of anti-retaliation protections for corporate whistleblowers could lead to a significant increase in the number of complaints filed directly with the U.S. Securities and Exchange Commission, a result companies may find costly, legal experts said.

  • February 21, 2018

    LendingClub Unveils $125M Settlement Of Investor Suits

    LendingClub Corp. on Tuesday said it has reached a $125 million preliminary settlement with the plaintiffs behind two securities class actions in California federal and state court that allege the peer-to-peer lending company misled investors in the run-up to its $1 billion initial public offering in 2014.

  • February 21, 2018

    Investor Counsel Sanctioned For ExamWorks Suit Delays

    Citing document delivery failures that in some cases were “degrading to the litigation process,” a Delaware vice chancellor on Wednesday sanctioned attorneys for funds pursuing a consolidated appraisal suit targeting ExamWorks’ $2.2 billion go-private sale.

  • February 21, 2018

    Libor Manipulation By 16 Banks Sank Doral, FDIC Alleges

    The Federal Deposit Insurance Corporation alleged that 16 global banks collectively manipulated the benchmark London Interbank Offered Rate, accelerating the collapse of Puerto Rico’s Doral Bank, according to a lawsuit filed Tuesday in New York federal court.

  • February 21, 2018

    7th Circ. Won't Revive Ex-Chicago Exchange Atty's Firing Suit

    The Seventh Circuit on Tuesday affirmed the dismissal of a suit against the Chicago Stock Exchange by a compliance lawyer who claims he was fired after reporting possibly illegal behavior, saying he didn't connect the dots between his firing, his internal report and his claimed Dodd-Frank protection.

  • February 21, 2018

    Bitfunder Boss Charged With Lying About $70M Bitcoin Heist

    Alternative currency purveyor Jon E. Montroll lied to the U.S. Securities and Exchange Commission after hackers stole 6,000 bitcoins, today worth nearly $70 million, from his WeExchange and Bitfunder.com businesses in 2013, according to criminal charges unsealed Wednesday in Manhattan federal court.

  • February 21, 2018

    Tops Supermarkets Opens $1.2B Ch. 11, Plans Debt Rework

    Regional supermarket chain Tops Markets LLC opened a nearly $1.2 billion Chapter 11 restructuring in New York bankruptcy court on Wednesday, saying it needs to reduce its debt load, optimize supply and lease agreements and “constructively engage” with its labor unions.

  • February 21, 2018

    Lifetime Fitness Exec Cops To Insider Trading Scheme Role

    A former Lifetime Fitness executive accused of tipping friends about the gym chain’s planned private equity buyout in exchange for a cut of trading profits pled guilty on Wednesday to a count of conspiracy to commit securities fraud he faced over the scheme.

  • February 21, 2018

    Supreme Court Narrows Definition Of Whistleblower

    The U.S. Supreme Court on Wednesday ruled in favor of a narrow definition of the term "whistleblower," a decision that will significantly limit the scope of anti-retaliation measures meant to protect whistleblowers under the Dodd-Frank Act.

  • February 20, 2018

    Stanford Ponzi Deal Wrongly Bars Claims, 5th Circ. Hears

    Hundreds of investors in the Stanford Ponzi scheme urged the Fifth Circuit on Monday to overturn a $120 million deal settling claims that broker Willis Ltd. fraudulently induced their investments, arguing that the settlement funds inexplicably go to the Stanford receiver and the terms of the deal indefensibly bar further claims against Willis.

Expert Analysis

  • Understanding Texas Mechanic's Liens And Bonds: Part 1

    Excerpt from Lexis Practice Advisor
    David Tolin

    Texas is home to relatively complex statutory frameworks for liens and bonds used to secure payment for services rendered. Statutory and constitutional liens provide powerful remedies for nonpayment, but only if the proper guidelines are strictly observed, says David Tolin of Cokinos Young.

  • Delaware May Be The Right Jurisdiction For 'Smart' Orgs

    Matthew O’Toole

    As distributed ledgers and blockchains emerge as means for processing and recording corporate and commercial transactions, the Delaware LLC may become an attractive organizational form for next-generation "decentralized autonomous organizations," say attorneys with Potter Anderson Corroon LLP.

  • A New Era In Global Securities Litigation: Part 1

    David Kistenbroker

    Shareholder plaintiffs barred from U.S. courts are looking to courts in foreign jurisdictions to litigate alleged securities fraud and seek redress. To understand and prepare for this sea change, multinational defendants should be aware of jurisdictions in which they could be sued, as well as those in which they may be able to obtain global relief, say attorneys with Dechert LLP.

  • How Emerging Sources Of ESI Will Impact Discovery

    Charles McGee

    Late last year, the Sedona Conference released the third edition of its principles addressing electronic document production, updated to account for innovations like Snapchat and Twitter. It may be necessary for these principles to be updated more often in order to keep pace with technology, says Charles McGee III of Murphy & McGonigle LLP.

  • Put The Brakes On Acceleration Bay Litigation Funder Ruling

    David Gallagher

    Last week, the District of Delaware raised eyebrows by ruling that documents provided to a litigation funder and its counsel in connection with their due diligence are categorically not attorney work product. Acceleration Bay v. Activision Blizzard seems to be a case of bad facts making bad law, says David Gallagher, investment manager and legal counsel for Bentham IMF.

  • 3 Securities Enforcement Developments You May Have Missed

    Kurt Wolfe

    Over the past year, the U.S. Securities and Exchange Commission investigations and enforcement space has seen a number of developments that are likely to have transformative effects, some of which have garnered a great deal of commentary. Kurt Wolfe of Allen & Overy LLP highlights three issues that have received less attention.

  • How Natural Experiments Can Help In Estimating Damages

    Niall MacMenamin

    Establishing a causal link between allegedly wrongful conduct and the quantity of damages asserted can be challenging. Fortunately, increasing volumes of real-world data are available to the damages expert, and natural experiments based on such data can be effective in showing causality and estimating damages, says Niall MacMenamin of Analysis Group Inc.

  • Recent Trends In Structuring Risk Retention Vehicles

    Jason Schwartz

    In the wake of the financial crisis, the U.S. and Europe enacted “risk retention” rules that require sponsors of securitization vehicles to maintain a financial interest in those vehicles. Here, attorneys with Cadwalader Wickersham & Taft LLP look at the “capitalized management vehicle” structure that many collateral managers are using to comply with the rules, and the likely impact of a recent D.C. Circuit ruling.

  • The Impact Of Kokesh So Far, And What's Next: Part 2

    Carmen Lawrence

    Kokesh changed the paradigm for remedies in U.S. Securities and Exchange Commission enforcement actions, but the potential ramifications go well beyond what initially meets the eye. As we are starting to see, Kokesh's full impact will not be limited to disgorgement or the SEC, say attorneys with King & Spalding LLP.

  • Considerations For Attorneys Using Artificial Intelligence

    Ben Allgrove

    Artificial intelligence tools can empower attorneys to work more efficiently, deepen and broaden their areas of expertise, and provide increased value to clients, which in turn can improve legal transparency, dispute resolution and access to justice. But there are some common pitfalls already apparent in the legal industry, say Ben Allgrove and Yoon Chae of Baker McKenzie.