Plaintiffs lawyers are slapping public companies with securities class actions months or years after the alleged fraud came to light as they turn their attention away from cases related to the financial meltdown. The delayed filings are a shift from the previously common practice of pursuing a securities fraud class action days or weeks after a stock-price decline caused investor losses. Defense lawyers say the plaintiffs bar is grasping at straws amid the recent stock market volatility.
Securities Fraud Suits Resurface
The National Law Journal
November 30, 2009