On August 20, 2024, WLF urged the Supreme Court to reverse a sharply divided Ninth Circuit decision that gutted the critical pleading requirements of the Private Securities Litigation Reform Act (PSLRA). WLF was joined on its amicus brief by the U.S. Chamber of Commerce, the National Association of Manufacturers, the National Retail Federation, and the Securities Industry and Financial Markets Association. The brief explains why allowing securities plaintiffs to rely on hired-gun expert reports to establish falsity and scienter would permit securities-fraud plaintiffs to circumvent the PSLRA by substituting post hoc expert speculation for particularized factual allegations of falsity and scienter. Affirming the Ninth Circuit’s rule would therefore create an easy roadmap for future plaintiffs to engage in the kind of fishing expeditions the PSLRA was supposed to end. WLF’s brief was drafted with pro bono assistance from James N. Kramer, Daniel A. Rubens, and Jodie C. Liu of Orrick Herrington & Sutcliffe LLP.
Documents: