Spring 2008 SEC Roundtable to Consider Securities Litigation Reform Issues
This article by Kara Scannell of the WSJ reports that the SEC plans to hold a roundtable in the first quarter of 2008 to discuss issues and recent proposals related to securities litigation reform. According to the article,
the thrust of the SEC roundtable, so far, will address [concerns] including who bears the cost of paying for attorneys fees in these lawsuits, the role insurance plays in indemnifying companies or individuals, the percentage of investors who file claims and collect portions of settlements, and how the economics of a settlement change when the defendant is a third-party. The professors also recommend studying whether securities class action deter behavior, the impact of the PSLRA, and how the SEC’s Fair Funds program, granted under Sarbanes Oxley, can be coordinated with settlements from private lawsuits.
