Securities & Shareholder Litigation

Major public companies and individual defendants have entrusted us with the defense of their most important securities class action and derivative matters.

Since the firm was founded in 2001, we have repeatedly been asked to defend significant and high-dollar cases involving alleged securities fraud, breaches of fiduciary duty, and corporate-governance lapses.  In defending these cases, the firm brings to bear its significant strengths, including our attorneys’ extensive knowledge regarding applicable laws, a creative approach to legal arguments, and the firm’s vast collective trial experience.  Using these strengths, we routinely secure favorable resolutions, including in cases involving hundreds of millions, and sometimes billions, of dollars in alleged damages.

Major public companies and individual defendants have entrusted us with the defense of their most important securities class action and derivative matters.  Our cases have involved different industries, from finance to health care and beyond.  The firm’s approach is reflected in our high-quality motion practice, which is designed to put an end to litigation before trial.  Representative examples of our success with motions include:

  • L. Phelps, et al. v. Stomber, et al., No. 11-cv-01142 (D.D.C.). We won a motion to dismiss this putative class action asserting federal and common law securities claims seeking hundreds of millions in damages against a private equity group, individual defendants and a defunct public investment fund.   That decision was affirmed on appeal by the D.C. Circuit.
  • In re Puda Coal Inc. Securities Litigation, No. 11-cv-2598 (S.D.N.Y.). We successfully argued for dismissal of securities–fraud claims against our auditor-client arising out of the misstated financials of a reverse-merger Chinese corporation.
  • In re IKON Office Solutions, Inc. Securities Litigation, No. 98-cv-4286 (E.D. Pa.). As a result of our briefing and argument, we obtained summary judgment and dismissal of all claims against our auditor-client in this large securities fraud class action.  We won on multiple grounds, including scienter and loss causation.  The decision was affirmed by the Third Circuit on appeal.

For cases that continue beyond threshold motions, we tackle discovery and pre-trial tasks competently and efficiently, and stand ready to try a case to verdict, if necessary, to obtain the best outcome.  We have found that the threat that our well-known willingness and ability actually to take a case to trial provides substantial leverage in our dealings and negotiations with opposing counsel.

Although trial in these cases is rare, our firm has had success at that stage of litigation as well.  In 2016, we obtained a complete victory for our clients—three individual directors of a defunct investment fund—following a lengthy trial of claims relating to alleged breaches of fiduciary duties with a total damages that exceeded $1 billion.