Strougo v. Barclays PLC

Case Updates

Click here to view opinion.

The U.S. Chamber filed an amicus brief urging the Second Circuit to overturn a district court decision that flouts the “fraud-on-the-market” principles affirmed in Halliburton II and invites the filing of meritless and abusive securities class actions.

The brief argued that the district court’s decision erroneously relieved plaintiffs of their burden of production to invoke the Basic presumption and their burden of persuasion once the presumption was rebutted. The brief also explains that the district court’s decision will embolden securities plaintiffs to pursue marginal claims on behalf of questionable classes.

Michael H. Park and J. Michael Connolly of Consovoy McCarthy Park PLLC served as counsel for the U.S. Chamber of Commerce on behalf of the U.S. Chamber Litigation Center.

Click here to view the order granting leave to appeal.

The U.S. Chamber filed an amicus brief urging the Second Circuit to review a district court decision that flouts the “fraud-on-the-market” principles affirmed in Halliburton II and invites the filing of meritless and abusive securities class actions.

The brief in support of the petition for permission to appeal argued that the district court’s decision erroneously relieved plaintiffs of their burden of production to invoke the Basic presumption and their burden of persuasion once the presumption was rebutted. The brief also explains the compelling need for immediate review due to the threat of abuse and unfair settlement pressures that can be associated with securities fraud class actions.

Lewis J. Liman, Jared M. Gerber, and Mark E. McDonald of Cleary Gottlieb Steen & Hamilton LLP served as co-counsel for the U.S. Chamber of Commerce on behalf of the U.S. Chamber Litigation Center.