Fraud-on-the-Market

03/12/2014

Fraud-on-the-Market Theory in Securities Class Actions Threatened

Securities Class Action Lawyers

The U.S. Supreme Court heard oral arguments in Halliburton Co v. Erica P. John Fund, Inc. last week, the case in which the Court has the opportunity to reverse or limit the 26-year old fraud-on-the-market doctrine adopted by the court in 1988. While the doctrine’s fate remains in question, the justices’ comments at the hearing indicate they are weighing options to make it more difficult for investors to sue. Class action litigation for stock fraud increased dramatically after the Court introduced... Read More