Securities Law Alert, January 2012
This month’s Alert addresses a Second Circuit opinion affirming the dismissal of a suit brought against Refco’s former corporate officers; a New York Court of Appeals decision holding that the Martin Act does not preempt nonfraud common law claims; and a Delaware Supreme Court ruling that Spanish law standing requirements apply in a multi-tier derivative action brought by a shareholder of a Spanish corporation.
We also discuss two rulings from the Southern District of New York: one largely denying a motion to dismiss a credit crisis-related suit against GE; and another holding that investors in Madoff feeder funds do not qualify as “customers” under the Securities Investor Protection Act. Finally, we address a magistrate judge’s recommendation that the Umpqua “Say on Pay” shareholder derivative action be dismissed.