Forum

U.S. Supreme Court

Case Status

Docket Number

Term

2020 Term

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Questions Presented

1. Whether a defendant in a securities class action may rebut the presumption of classwide reliance recognized in Basic Inc. v. Levinson, 485 U.S. 224 (1988), by pointing to the generic nature of the alleged misstatements in showing that the statements had no impact on the price of the security, even though that evidence is also relevant to the substantive element of materiality.

2. Whether a defendant seeking to rebut the Basic presumption has only a burden of production or also the ultimate burden of persuasion.

Case Updates

Outcome

June 21, 2021

The U.S. Supreme Court vacated the class certification and held that the generic nature of allegedly misleading statements must be considered before certifying a class—not only when determining, later in the case, whether the statements induced reliance and inflated the stock price. The U.S. Chamber has filed seven amicus briefs in the case.

U.S. Chamber files coalition amicus brief urging the Supreme Court to reverse securities class certification decision that expands the “price maintenance” theory and misapplies Halliburton II

February 01, 2021

Click here to view the amicus brief filed jointly by the U.S. Chamber, Securities and Financial Markets Association, Bank Policy Institute, American Bankers Association and American Property Casualty Insurance Association. Jonathan K. Youngwood of Simpson Thacher & Bartlett LLP and the U.S. Chamber’s Litigation Center served as co-counsel for the U.S. Chamber.

This is the seventh amicus brief filed by the U.S. Chamber in this case, following briefs at the cert. stage and in the Second Circuit.

Cert. petition granted

December 11, 2020

U.S. Chamber files coalition amicus brief urging the Supreme Court to grant review and reverse securities class certification decision that improperly expands the “price maintenance” theory and misapplies Halliburton II

September 24, 2020

Click here to view the amicus brief filed jointly by the U.S. Chamber, Securities and Financial Markets Association, Bank Policy Institute, and American Bankers Association. Jonathan K. Youngwood of Simpson Thacher & Bartlett LLP served as co-counsel for the coalition.

Previously, the U.S. Chamber filed five briefs when this case was before the Second Circuit.

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