Securities Litigation Has Many Requirements
Securities litigation by definition is complex. It has to meet a myriad of state and federal requirements, for example. If those requirements are not met or the law’s not followed, then there’s a private or a public placement.
It then creates a little bit of a dilemma for the plaintiff or the defendant in the case. This is because a lot of it is expert testimony-driven and there’s also factual studies as well. I’m referring to cases where there’s a technical issue, a failure to file a form with the SEC, for example. And there are cases where there’s a failure to give disclosure to an investor. Or it could be a failure to give a credited investor an investor questionnaire.
In the cases of fraud or allegations of breach of judiciary duty, that’s actually a little bit easier. This is because it’s more provable in that there is a material misstatement or omission. So that is a little bit easier to try or arbitrate. There are cases that involve complex disclosures. These are more challenging and need a lot of expert testimony. In short, securities litigation is time-consuming, expensive, and often unpredictable. It’s driven in large part by complex statutory schemes at the federal and state levels.
TALG Has Experience
Our firm has handled several notable securities cases and in different contexts. We’ve handled cases as a plaintiff. Here’s an example. On behalf of a client, we had an investment adviser who we discovered defrauded the client out of $3 million. We were successful in getting a judgment against that investment adviser. We were also able to recover a good part of those losses for the client.
We’ve also defended companies that faced allegations of securities fraud. Or ones that faced breach of judiciary duty in connection with securities offerings. We have been successful in defending those cases to judgment. Other times, we’ve been able to settle those cases at a nominal settlement value to the plaintiff. So we’ve had experiences on both sides of the aisle. It has been as the plaintiff and as the defendant in a wide area or myriad of securities litigation issues.
First Steps in Securities Litigation
Let’s start with an example. A company faces a securities litigation matter or an SEC matter. I would then look for counsel that is familiar with the securities laws. The counsel needs to have experience and training and understands them. The counsel needs to understand my business and what I do. These will drive the defense of the case.
Having an advocate who has the underlying education, training, and experience is important. It’s ideal to have a counsel that takes the time to understand my business. It should be one that understands what it is I’m trying to do and what my objectives are. It will ensure that I can mount the most vigorous defense possible under the law.
