September 19, 2013
Topical Highlights for Securities provides summaries of significant federal and state judicial decisions and legislative and administrative activities affecting Securities law. A Westlaw subscription is required to access the documents linked from this page.
Fraud: Speculation did not support claim that AOL failed to disclose that it had agreed to sell patents to Microsoft. In re AOL, Inc. Repurchase Offer Litigation, 2013 WL 4441516 (S.D.N.Y.) Mere speculation of shareholders who sold their stock in AOL before company announced that it had sold a portfolio of patents for over $1 billion in cash and while the company was repurchasing some of its outstanding stock, that the company’s auction for the patents was a sham because the company had already committed to a plan to sell the patents to Microsoft at a set sales price, was not sufficient to plead with particularity a material misstatement or omission, as element of a securities fraud claim under § 10(b). 2013 WL 4441516. (The full-text of the rest of the Topical Highlights are available within Westlaw Next, subscription required)
Pleading: Citigroup’s $730 million settlement of putative class action claims for securities fraud was fair and reasonable. In re Citigroup Inc. Bond Litigation 2013 WL 4427195 (S.D.N.Y.)
Class Actions: Investors’ state law class action claims against bankers for assisting in investment firm’s Ponzi scheme fraud were precluded. In re Herald 2013 WL 5046509 (C.A.2 (N.Y.))