The decision articulates the standard for plaintiffs asserting derivative claims based on an alleged failure of oversight by directors and officers of California companies.
Nearly three decades ago in the seminal case In...more
The unanimous opinion requires shareholder plaintiffs to plead and prove that they purchased shares traceable to an allegedly false or misleading registration statement.
On June 1, 2023, the US Supreme Court issued its...more
6/7/2023
/ Class Action ,
Direct Listing ,
Initial Public Offering (IPO) ,
Judicial Interpretation ,
Misleading Statements ,
Registration Statement ,
SCOTUS ,
Section 11 ,
Securities Act of 1933 ,
Shareholder Litigation ,
Slack Technologies Inc v Pirani ,
Split of Authority
The decision adopts enhanced scrutiny of director fiduciary duties for de-SPAC transactions, but suggests dismissal may be appropriate when stockholders exercise redemption rights on a fully informed basis.
On January 3,...more