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Securities

  • September 23, 2025

    Cybersecurity Co.'s Projections Were Inflated, Investor Says

    Cybersecurity company Fortinet was hit with a proposed securities class action accusing it of overstating an expected revenue boost related to customer software upgrades, saying its executives knew the projections were unrealistic.

  • September 23, 2025

    Axsome Settles Investors' Drug Approval Suit For $7.8M

    Biopharmaceutical company Axsome Therapeutics Inc. and its shareholders have asked a New York federal court to approve a $7.75 million settlement to resolve investors' claims that Axsome hid issues related to gaining regulatory approval for its migraine drug.

  • September 23, 2025

    Chair Of Puerto Rican Bank Pleads Guilty To $13.6M Fraud

    The chairman of the board of Puerto Rico-based Nodus International Bank has pled guilty to leading a scheme through which he and the bank's former CEO stole more than $13.6 million from Nodus and used it for their own benefit.

  • September 23, 2025

    Insurer Needn't Cover $3.3M Securities Scam Settlements

    An insurer for a securities broker-dealer does not owe coverage for $3.3 million the company paid to settle claims that an employee defrauded clients, a New York federal court ruled Tuesday, finding that the settlements are not a direct loss covered under the company's policy.

  • September 23, 2025

    FTX Trust Seeks $1B From Crypto Miner Genesis Digital

    The recovery trust created under FTX's Chapter 11 plan has filed a lawsuit in Delaware bankruptcy court that aims to claw back more than $1 billion that FTX's founder invested in Genesis Digital Assets Ltd., accusing the bitcoin mining firm of overinflating its value and projections to secure the funds.

  • September 23, 2025

    DOL Greenlights Guaranteed Income Investments In 401(k)s

    The U.S. Department of Labor's employee benefits arm issued guidance Tuesday making clear that employers can offer lifetime income insurance products as a default investment in 401(k) plans, responding to an executive order by President Donald Trump calling for expanded access to nontraditional retirement plan assets.

  • September 23, 2025

    Privy Council Backs Undoing Fund's $230M Madoff Claim Sale

    The top appeals court for U.K. overseas territories has endorsed a successful U.S. appeal brought by the liquidator of an overseas Bernard L. Madoff feeder fund to undo its allegedly imprudent sale of its $230 million claim against the Ponzi schemer's defunct firm to a hedge fund.

  • September 22, 2025

    Ex-Joseph Gunnar Broker Cops To $1M Insider Trading Scheme

    A former Joseph Gunnar & Co. broker Monday admitted to his role in what prosecutors say was a scheme to use confidential information about upcoming secondary stock offerings to make over $1 million in illicit profits.

  • September 22, 2025

    SEC Sues NC Man For 'Free-Riding' Securities Scheme

    A North Carolina man faces U.S. Securities and Exchange Commission allegations that he systematically gamed certain broker-dealers to engage in a so-called free-riding scheme that enabled him to trade nearly $900,000 worth of securities despite not actually possessing the funds to do so.

  • September 22, 2025

    Judge Blocks New Claims In BNY Mellon Self-Dealing Suit

    A pair of investors with the Bank of New York Mellon can't use an amended complaint to raise a relatively new theory of liability against the bank nearly five years after filing their original suit, a Pennsylvania federal judge ruled Monday.

  • September 22, 2025

    UK, US To Collaborate On Capital Markets, Crypto Policy

    The U.S. Department of the Treasury and the United Kingdom's financial ministry on Monday announced the formation of a joint taskforce to explore ways to collaborate on digital asset policy and "improve links" between the two countries' capital markets.

  • September 22, 2025

    Robbins Geller To Steer Ford Investors' Warranty Costs Suit

    Robbins Geller Rudman & Dowd LLP was selected on Monday to lead a consolidated putative class action accusing Ford Motor Co. and its executives of concealing rising warranty costs that later caused an 18% stock price decline.

  • September 22, 2025

    Adult Club Owner, Charged With Fraud, Facing Securities Suit

    An RCI Hospitality Holdings investor hit the adult entertainment club operator and two executives with a proposed securities class action in Texas federal court on Sunday, alleging that they hid a multiyear tax fraud and bribery scheme that was recently unveiled in sprawling New York indictments and purportedly caused RCI's stock to plummet.

  • September 22, 2025

    Fifth Third Can Keep $30M In Escrow Fight, Judge Rules

    A New York federal judge has sided with Fifth Third Bank in a $30 million escrow fight, finding its claim notice over alleged "platform fee" violations was timely and valid, in a ruling that will require the suing private equity seller to return $10 million that was already released.

  • September 22, 2025

    National Instruments Investors Granted Class Cert.

    A New York federal judge has certified a class of investors who sold National Instruments Corp. stock during two windows in 2022 while the company was repurchasing shares and considering an acquisition offer, finding that reliance can be presumed and damages can be measured on a class-wide basis, among other things.

  • September 22, 2025

    Chancery Orders New Doc Handover In Crypto Co. Merger Suit

    A busted crypto-venture merger battle resurrected by Delaware's Supreme Court last year took another turn Monday with a ruling by Delaware's chancellor compelling Galaxy Digital Holdings LLC's handover of records that crypto-wallet business Bitgo Holdings Inc. said ties Galaxy to an alleged crypto pump-and-dump scheme.

  • September 22, 2025

    J&J Ruling Misapplied Goldman Precedent, 3rd Circ. Told

    The U.S. Chamber of Commerce and other business organizations are supporting Johnson & Johnson's call for the full Third Circuit to reconsider a ruling that the groups argue could "saddle" companies with investor class-action suits through the misapplication of a recent U.S. Supreme Court ruling. 

  • September 22, 2025

    NJ Judge Nixes Investment Fund's Bid For Emails In Bias Suit

    A Black-owned investment fund accusing New Jersey officials of bias cannot access emails from Gov. Phil Murphy and two of his Cabinet members because the information falls "squarely" within executive privilege, a magistrate judge said Monday, overruling the firm's objections to a special discovery master's report.

  • September 22, 2025

    Catching Up With Delaware's Chancery Court

    Last week, Match.com secured approval for a $30M settlement over its 2019 reverse spinoff from IAC, and Vice Chancellor Morgan T. Zurn urged decorum among Delaware lawyers, comparing recent legal turmoil to dark times in British monarchy history. Here's the latest from the Chancery Court.

  • September 22, 2025

    Developer Gets 8 Years For Fraud That Sunk Belize Project

    A Manhattan federal judge sentenced a California real estate developer with a previous fraud conviction Monday to eight years in prison, after a jury convicted him of defrauding investors who backed a big luxury development he controlled called Sanctuary Belize.

  • September 22, 2025

    Toy Company Eyes UBS Records Amid FINRA Arbitration

    A toy company whose brands include Bratz dolls and Little Tikes has urged an Iowa federal judge to unseal records that it says will bolster its arbitration against UBS over claims that the global wealth manager wrongly advised the company to short-sell Tesla stock.

  • September 22, 2025

    Floridians Defend Moore & Van Allen Malpractice Claims

    A proposed class of Floridians accusing Moore & Van Allen PLLC of mishandling their employee stock ownership trust have told a federal court that a change in venue is unwarranted, and that despite the law firm's claims to the contrary, they have personal standing to sue on behalf of the trust.

  • September 22, 2025

    High Court Allows FTC Firing, Will Review Trump's Power

    The U.S. Supreme Court ruled Monday that President Donald Trump can fire Democratic Federal Trade Commissioner Rebecca Slaughter without cause, and it agreed to reconsider limits on the president's authority to remove members of the FTC.

  • September 19, 2025

    Judge Won't Enforce Injunction Against Pot Co. Shareholder

    A Colorado state judge denied a Canadian cannabis company's request for a preliminary injunction against an investor Friday, finding that the injunction request was too broad, and many of the requests needed to be litigated elsewhere.

  • September 19, 2025

    Nvidia Objects To Class Cert. In Former High Court Case

    Nvidia has urged a California federal court to not grant class certification in a case that briefly went before the U.S. Supreme Court, arguing the plaintiffs' claims that the company failed to inform investors about its reliance on the volatile crypto market are too individualized to proceed as a group.

Expert Analysis

  • 11th Circ. Ruling Shows Federal Question Jurisdiction Limits

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    The Eleventh Circuit's recent decision in AST Science v. Delclaux shows why it is extremely difficult for litigants to maintain a state law cause of action in federal court under Supreme Court precedent, says Paul Avron at Berger Singerman.

  • From Clerkship To Law Firm: 5 Transition Tips For Associates

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    Transitioning from a judicial clerkship to an associate position at a law firm may seem daunting, but by using knowledge gained while clerking, being mindful of key differences and taking advantage of professional development opportunities, these attorneys can flourish in private practice, say attorneys at Lowenstein Sandler.

  • Associates Can Earn Credibility By Investing In Relationships

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    As the class of 2025 prepares to join law firms this fall, new associates must adapt to office dynamics and establish credible reputations — which require quiet, consistent relationship-building skills as much as legal acumen, says Kyle Forges at Bast Amron.

  • How The Genius Act May Aid In Fight Against 'Pig Butchering'

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    ​​​​​​​The recently enacted Genius Act represents a watershed moment in the fight against crypto fraud, providing new tools to freeze and recover funds that are lost to scams such as "pig butchering" schemes executed from scam factories abroad, but there are implementation challenges to watch, say attorneys at Treanor Devlin.

  • Traditional Venue Theories May Not Encompass Crypto Fraud

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    A New York federal court's recent decision in U.S. v. Eisenberg, overturning a jury verdict against a crypto trader on venue deficiencies and insufficient evidence, highlights the challenges of prosecutions in the decentralized finance space, and will no doubt curtail law enforcement's often overly expansive view of jurisdiction and venue, say attorneys at Venable.

  • A Shifting Trend In FDA Form 483 Disclosure Obligations

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    A New York federal court's Checkpoint Therapeutics decision extends a recent streak of dismissals of securities class actions alleging that pharmaceutical companies failed to disclose U.S. Food and Drug Administration Form 483 inspection reports, providing critical guidance for companies during the FDA approval process, say attorneys at Alston & Bird.

  • Filing Clarifies FTC, DOJ's Passive Investment Stance

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    The antitrust agencies' statement of interest filed in Texas v. Blackrock clarifies that certain forms of corporate governance engagement are permissible under the "solely for investment" exemption, a move that offers guidance for passive investors but also signals new scrutiny of coordinated engagement, say attorneys at Stinson.

  • Lessons From 7th Circ.'s Deleted Chat Sanctions Ruling

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    The Seventh Circuit’s recent decision in Pable v. Chicago Transit Authority, affirming the dismissal of an ex-employee’s retaliation claims, highlights the importance of properly handling the preservation of ephemeral messages and clarifies key sanctions issues, says Philip Favro at Favro Law.

  • Genius Act Sets Stablecoin Standards — Without Regulation E

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    While the Genius Act expressly requires payment stablecoin issuers to be treated as financial institutions for purposes of the Bank Secrecy Act, it is notably silent as to whether they are to be treated as such under the Electronic Fund Transfer Act, as implemented by Regulation E, says Tom Witherspoon at Stinson.

  • Assessing Federal Securities Class Action Stats In '25 So Far

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    The settlement amount as a percentage of damages in securities class actions has continued to decline in the first half of 2025, a trend that may be important for assessing exposure and risk in future securities litigation, say analysts at Analysis Group.

  • NY Tax Talk: ALJ Vacancy, Online Sales, Budget

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    Among the most notable developments in New York tax law last quarter, an administrative law judge vacancy continued affecting taxpayers, a state court decision tested the scope of the Interstate Income Act, and Gov. Kathy Hochul signed the 2025-2026 fiscal budget containing key tax-related provisions, say attorneys at Eversheds Sutherland.

  • Series

    Quilting Makes Me A Better Lawyer

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    Turning intricate patterns of fabric and thread into quilts has taught me that craftsmanship, creative problem-solving and dedication to incremental progress are essential to creating something lasting that will help another person — just like in law, says Veronica McMillan at Kramon & Graham.

  • How Tariffs Can Affect Event Studies In Securities Litigation

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    When the control period is calm and the event window is stormy — often the case with breaking political or economic developments, like President Donald Trump's recent tariff announcements — traditional event study methodology can increase the risk of misleading conclusions in securities litigation, say economic consultants at NERA.

  • What To Expect From 401(k) Plan Alternative Assets Order

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    The executive order this month making it easier for retirement plans to invest in alternative assets, including private equity, real estate and digital assets, marks a watershed moment for democratizing access to private markets, but the U.S. Department of Labor's anticipated formal rulemaking will also be impactful, say attorneys at Simpson Thacher.

  • How AI Is Easing Digital Asset Recovery In Fraud Cases

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    In combination with recent legislation and a maturing digital asset infrastructure, artificial intelligence tools are making it easier to recover stolen assets, giving litigants a more specific understanding of financial fraud earlier in the process and making it economically feasible to pursue smaller fraud claims, says Solomon Shinerock at Lewis Baach.

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