« A Safe Bet | Main | Payback Time »

Daily Posts

May 2008
Sun Mon Tue Wed Thu Fri Sat
1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28 29 30 31

About SLW

Events

Subscribe

Email Alerts

Subscribe and receive email alerts when new articles are published!

Enter Your Email Address

U.S. Code

Code of Federal Regulations

Tuesday, January 24, 2006

New Wave of Securities Class Action Lawsuits on the Way?

The Boston Business Journal has this article related to the recent Stanford/Cornerstone report, as well as SLW's recent posts about the subject.  The article states that:

The number of securities class action lawsuits filed in the United States fell off last year, but experts say it's not time for companies to relax yet because a rising number of corporate restatements could harbinger a new wave of such suits.

Quoting yours truly, the article adds:

But rising earnings restatements foreshadow future lawsuits, said Bruce Carton, vice president of securities class action services at Institutional Shareholder Services Inc. of Rockville, Md.

"The fact that you're getting a flurry of restatement of 2005, if it hasn't already led to lawsuits, probably will in the future," Carton said.

                                                                                   ***

"SOX fuels restatements, which fuels lawsuits," Carton said.

Post a comment

(If you haven't left a comment here before, you may need to be approved by the site owner before your comment will appear. Until then, it won't appear on the entry. Thanks for waiting.)

TrackBack

TrackBack URL for this entry:
http://blog.riskmetrics.com/cgi-bin/mt-tb.cgi/653

   
 
About RiskMetrics Group | Disclaimer

Copyright © 2007 RiskMetrics Group
The World Leader in Proxy Voting and Corporate Governance Services

Powered by Movable Type 3.36