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Articles 1 - 9 of 9
Full-Text Articles in Law
Eliminating Securities Fraud Class Actions Under The Radar, Barbara Black
Eliminating Securities Fraud Class Actions Under The Radar, Barbara Black
Faculty Articles and Other Publications
At least since Basic, Inc. v. Levinson, the business community and many influential scholars have challenged the existence of the securities fraud class action on a variety of grounds. Recently, two proposals have been advanced to "fix" the problem of "abusive" securities fraud class actions. One proposal requires arbitration of all securities fraud class actions; the other eliminates the corporate defendant in most actions. Proponents assert that shareholders should have the right to adopt these proposals through amendment of the company's certificate of incorporation. In reality, adoption of either proposal would substantially curtail, if not eliminate, the securities fraud class …
Reputational Damages In Securities Litigation, Barbara Black
Reputational Damages In Securities Litigation, Barbara Black
Faculty Articles and Other Publications
This short paper, originating in remarks made at the Institute for Law and Economic Policy's 15th Annual Conference on Compensation of Plaintiffs in Mass Securities Litigation, addresses an issue that has surfaced post-Dura Pharmaceuticals: can investors recover damages resulting from declines in stock price attributable to the market's reassessment of the integrity of management or the corporation's internal controls? Some finance scholars label these damages as non-recoverable 'collateral damage' that are not attributable to the original fraudulent disclosure. I argue that this position is based on a mischaracterization of the original fraudulent disclosure and that there is no basis in …
Securities Laws In Soap Operas And Telenovelas: Are All My Children Engaged In Securities Fraud?, Elena Marty-Nelson
Securities Laws In Soap Operas And Telenovelas: Are All My Children Engaged In Securities Fraud?, Elena Marty-Nelson
Faculty Scholarship
Securities law images are broadcast to millions worldwide through soap operas and telenovelas. Doctors, and professionals in other fields, have recognized the power of dramatic serials. They have generated a rich body of scholarship demonstrating how these mediums of popular culture impart health messages or effect social change. This author describes some of those empirical studies and suggests that legal scholars conduct similar empirical or ethnographic studies, particularly on the impact of portrayals of complex legal issues such as securities fraud in serials. The author explains differences and similarities between telenovelas and soap operas and compares portrayals of legal issues …
Do Differences In Pleading Standards Cause Forum Shopping In Securities Class Actions?: Doctrinal And Empirical Analyses, James D. Cox, Randall S. Thomas, Lynn Bai
Do Differences In Pleading Standards Cause Forum Shopping In Securities Class Actions?: Doctrinal And Empirical Analyses, James D. Cox, Randall S. Thomas, Lynn Bai
Faculty Scholarship
No abstract provided.
The Bank Bailout: A License For Sovereign Securities Fraud, Wendy Gerwick Couture
The Bank Bailout: A License For Sovereign Securities Fraud, Wendy Gerwick Couture
Articles
No abstract provided.
White Collar Crime's Gray Area: The Anomaly Of Criminalizing Conduct Not Civilly Actionable, Wendy Gerwick Couture
White Collar Crime's Gray Area: The Anomaly Of Criminalizing Conduct Not Civilly Actionable, Wendy Gerwick Couture
Articles
Substantive and procedural differences between criminal and civil treatment of conduct sounding in securities fraud combine to cause the following anomaly: certain false statements to investors may be actionable criminally-subjecting individual defendants to imprisonment-but not civilly-leaving victims without remedy. The imposition of criminal punishment for conduct that does not invoke civil liability risks disrupting the current scheme of securities regulation, at the expense of considerations deemed important by Congress and the courts. Moreover, the extension of criminal liability beyond the scope of civil liability debunks the assumption, which underlies the current scholarship on the civil-criminal divide, that criminal liability is …
Insider Trading And The Gradual Demise Of Fiduciary Principles, Donna M. Nagy
Insider Trading And The Gradual Demise Of Fiduciary Principles, Donna M. Nagy
Articles by Maurer Faculty
Recent SEC enforcement actions, such as the case filed against Dallas Mavericks' owner Mark Cuban, raise the question whether deception by a fiduciary is essential to the Rule 10b-5 insider trading offense. Under the Supreme Court's classical and misappropriation theories, the answer is clearly yes - each theory has a fiduciary principle at its core. Yet lower courts and the SEC frequently disregard the Court's explicit dictates, and a consensus is emerging that insider trading rests simply on the wrongful use of material nonpublic information, regardless of whether a fiduciary-like duty is breached. Although this view of insider trading can …
The Sec And The Madoff Scandal: Three Narratives In Search Of A Story, Donald C. Langevoort
The Sec And The Madoff Scandal: Three Narratives In Search Of A Story, Donald C. Langevoort
Georgetown Law Faculty Publications and Other Works
This essay, part of a symposium on narrative in corporate law, considers various portrayals of the complicity of the SEC in the Bernard Madoff scandal--including the Commission's own Inspector General's report issued in September 2009. It considers possible explanations (revolving door problems, incompetence and sloth, etc.) but suggests that the story is deeper and more frustrating, arising out of the relative poverty in which the SEC operates, which in turn leads to habits of thought and action that leave too much unnoticed and undone. The interesting question, then: why the poverty? The essay concludes with a political explanation. While by …
The Screening Effect Of The Private Securities Litigation Reform Act, Adam C. Pritchard, Stephen J. Choi, Karen K. Nelson
The Screening Effect Of The Private Securities Litigation Reform Act, Adam C. Pritchard, Stephen J. Choi, Karen K. Nelson
Articles
Prior research shows that the Private Securities Litigation Reform Act (PSLRA) increased the significance of merit-related factors in determining the incidence and outcomes of securities fraud class actions (Johnson et al. 2007). We examine two possible explanations for this finding: the PSLRA may have reduced the incidence of nonmeritorious litigation, or it may have changed the definition of merit, effectively precluding claims that would have survived and produced a settlement pre-PSLRA. We find no evidence that pre-PSLRA claims that settled for nuisance value would be less likely to be filed under the PSLRA regime. There is evidence, however, that pre-PSLRA …