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Barbara J. Hart, a shareholder at Lowey Dannenberg Cohen & Hart, and Todd S. Garber, an associate at the firm, write that the resolution of loss causation requires a fact-intensive inquiry unique to each fraud. Under the rationale applied in recent decisions, they note, plaintiffs appear to still be able to easily plead loss causation needing only to allege a plausible connection between the alleged disclosures and the drop in stock price, and such connection can have a significant temporal gap.
September 02, 2008 at 12:00 AM
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