The ban on extraterritorial application of U.S. securities laws applies even to claims based on foreign shares that are cross-listed on an American exchange, the U.S. Court of Appeals for the Second Circuit said Tuesday.
Addressing a case of first impression, the circuit said the cross-listing of shares does not change the equation for the limitation on lawsuits imposed by the U.S. Supreme Court in Morrison v. National Australia Bank Ltd., 561 U.S. 247 (2010), even if the buy order is placed in the United States.
