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The California Supreme Court on Monday allowed investors who hold stock that declines in value to sue for fraud. Though the unanimous decision contained enough dicta to make the much-maligned plaintiffs bar preen, it was not a total victory. The court turned aside defense arguments that public policy demands that so-called "holder's actions" be barred, but erected high hurdles that corporate lawyers hope will restrict their number -- and may make them impossible to bring as class actions.
April 08, 2003 at 12:00 AM
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The original version of this story was published on Law.Com
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