White House backs banks in Supreme Court case

Lawyer Blogs

White House backs banks in Supreme Court case

[##_1L|1083995532.jpg|width="100" height="112" alt=""|_##]The brief by the U.S. solicitor general contradicts a brief filed by the Securities and Exchange Commission, which argued for shareholders' rights to sue those third parties. "Allowing liability for a primary violation under the circumstances presented here would constitute a sweeping expansion of the judicially inferred private right of action" under securities law, wrote Solicitor General Paul Clement.

Such a move could expose customers, vendors and others to "billions of dollars in liability when issuers of securities make misstatements to the market," he wrote.
Clement wrote that allowing third parties to be sued would "vastly expand liability in unpredictable ways."

The case, Stoneridge Investment Partners v. Scientific-Atlanta, Inc., has attracted considerable interest from lawmakers and industry associations. On Tuesday, Senate Banking Committee Chairman Christopher Dodd, D-Conn., asked President Bush to back the SEC's position.

Meanwhile, Securities Industry and Financial Markets Association President Marc Lackritz said allowing third parties to be held liable would result in skyrocketing litigation costs for companies.

"Investors already receive substantial protections under the law, and the Securities and Exchange Commission and other securities regulators are already armed with all the necessary regulatory tools to recoup lost money for investors," Lackritz said.
Similarly, the U.S. Chamber of Commerce, a business trade group, had urged the court to reject the expanded liability, known in legal terms as "scheme liability."

"Congress authorized the SEC to enforce securities laws against third parties and disburse funds to harmed investors," said Robin Conrad, executive vice president of the National Chamber Litigation Center.

"The Supreme Court should not upset that legislative decision by allowing class action lawyers to increase litigation risk and further hamper the competitiveness of American markets," Conrad said.

The Supreme Court is scheduled to hear the case in its fall term.

Related listings

  • Brodsky & Smith, LLC Announces Settlement of Class Action

    Brodsky & Smith, LLC Announces Settlement of Class Action

    Lawyer Blogs 08/16/2007

    Brodsky & Smith, LLC announces that a Court has preliminarily approved a class action settlement in TDH Partners v. The Ryland Group, Inc., et. al. involving all persons who purchased or otherwise acquired common stock of the Ryland Group, Inc. (...

  • Ex-NBA Referee Pleads Guilty to Charges

    Ex-NBA Referee Pleads Guilty to Charges

    Lawyer Blogs 08/15/2007

    [##_1L|1124047923.jpg|width="120" height="101" alt=""|_##]Former referee Tim Donaghy pleaded guilty to two felony charges Wednesday in connection with the NBA betting scandal. Donaghy faces a maximum of 25 years in prison when he is sentenced for con...

  • Appeals court rules in Hanford downwinders' case

    Appeals court rules in Hanford downwinders' case

    Lawyer Blogs 08/15/2007

    In a sweeping ruling Tuesday, a federal appeals court overturned a judgment in favor of a woman who had sued contractors at the Hanford nuclear reservation for causing her thyroid cancer, but opened the door for three other plaintiffs to get a new tr...

Illinois Work Injury Lawyers – Krol, Bongiorno & Given, LTD.

Accidents in the workplace are often caused by unsafe work conditions arising from ignoring safety rules, overlooking maintenance or other negligence of those in management. While we are one of the largest firms in Illinois dedicated solely to the representation of injured workers, we pride ourselves on the personal, one-on-one approach we deliver to each client.

Work accidents can cause serious injuries and sometimes permanent damage. Some extremely serious work injuries can permanently hinder a person’s ability to get around and continue their daily duties. Factors that affect one’s quality of life such as place of work, relationships with friends and family, and social standing can all be taken away quickly by a work injury. Although, you may not be able to recover all of your losses, you may be entitled to compensation as a result of your work injury. Krol, Bongiorno & Given, LTD. provides informed advocacy in all kinds of workers’ compensation claims, including:

• Injuries to the back and neck, including severe spinal cord injuries
• Serious head injuries
• Heart problems resulting from workplace activities
• Injuries to the knees, elbows, shoulders and other joints
• Injuries caused by repetitive movements

For Illinois Workers’ Compensation claims, you will ALWAYS cheat yourself if you do not hire an experienced attorney. When you hire Krol, Bongiorno & Given, Ltd, you will have someone to guide you through the process, and when it is time to settle, we will add value to your case IN EXCESS of our fee. In the last few years, employers and insurance carriers have sought to advance the argument that when you settle a case without an attorney, your already low settlement should be further reduced by 20% so that you do not get a “windfall.” Representing yourself in Illinois is a lose-lose proposition.

Business News

404 Not Found

404

Not Found

The resource requested could not be found on this server!