Securities Law Alert, April 2012
This month’s Alert addresses the Supreme Court’s decision rejecting the argument that Section 16(b)’s limitations period is tolled until the filing of a Section 16(a) statement. We also discuss an Eighth Circuit decision affirming summary judgment in favor of Ameriprise in a Section 36(b) suit alleging excessive mutual fund advisory fees, as well as the Southern District of New York’s dismissal of all surviving Securities Act claims in the GE credit crisis-related suit.
In addition, we cover two decisions from the First Department: one addressing the heightened standard for fraud claims brought by sophisticated investors, and another affirming the dismissal of a Morgan Stanley shareholder derivative suit alleging excessive executive compensation. We also discuss a recent SEC study on the extraterritorial scope of Section 10(b) private actions. Finally, we address motions by two “Say on Pay” plaintiffs to voluntarily dismiss their suits.