Five Securities Litigation Issues to Watch in 2016
Lane Powell Shareholders Doug Greene and Claire Loebs Davis co-authored a January 8 Law360 article titled “Five Securities Litigation Issues to Watch in 2016.” In the article, Greene and Davis discussed five developing issues in securities litigation that they believe will have the greatest potential to significantly increase or decrease the exposure of public companies and their directors, officers and insurers in 2016.
The top [issue to watch] — whether lower courts will properly apply Omnicare — is a rare game changer. If defense counsel understands and uses Omnicare correctly, and if lower courts apply it as the Supreme Court intended, securities litigation decisions will be based on reality, and therefore far fairer and more just. But if either defense counsel or lower courts get it wrong, companies and their directors and officers will suffer outcomes that are less predictable, more arbitrary and often wrong.