Included In This Issue:
- In Tellabs, the Supreme Court clarified the heightened pleading standard for shareholders who file securities fraud lawsuits.
- Shareholders must allege facts that give rise to an inference of fraud that is "at least as compelling as any opposing inference."
- Defendants who persuade the court that an innocent explanation is more compelling will win dismissal before discovery even begins.
Foley Hoag's Business Crimes Perspectives is a regular publication exploring trends and emerging issues in the areas of business crimes, fraud and government investigations. Lawyers in Foley Hoag’s Business Crimes practice represent corporations, officers, directors, and other individuals in criminal, administrative, regulatory and civil proceedings. If you find this update useful, please encourage your colleagues and contacts to also register with us at www.foleyhoag.com.