False opinions
Giving a knowingly false opinion about a public company can expose the company and its insiders to liability for securities fraud under federal law.
But what about an opinion that they truly believe but for which they have a flimsy basis?
The Supreme Court held today that the lack of rigor may indeed
People who commit to buy a stock on Day 1 can't complain about misrepresentations that the stock issuer made on Day 2 or later. E.g., APA Excelsior III L.P. v. Premiere Techs., Inc., 476 F.3d 1261, 1267 (11th Cir. 2007). The later lies could not have induced you to buy the shares, the theory
Although Abbey and Kirby were no doubt on the stingy side when it came to compensating their brethren, we have not been convinced that the District Court abused its discretion in approving class counsel's allocation.
Victor v. Argent Classic Convertible Arbitrage Fund L.P. (In re Adelphia Communications Corp. Securities & Derivative Litig.), No. 08-4904-cv