Securities Litigation In England – 10 Years On From Morrison AND During A Pandemic

As a result of COVID-19, companies are being forced to respond to a variety of threat vectors such as cash-flow problems, insurance issues and regulatory restrictions on their business.

Another possible threat, which might not materialise for some time, is the threat of securities litigation. While the prediction by many that the US Supreme Court decision in the case of Morrison v National Australia Bank Ltd would kick start securities litigation in the Courts of England and Wales, has not come true, this does not mean it is not an ever-present threat

Some experts believe that the COVID-19 pandemic might see investors seeking to challenge snap decisions made by companies in the fast moving months of March, April and May 2020. Given that these claims do not need to be filed immediately, both companies and those who might have been prejudiced by a company's decision should be aware of any action that could lead to a claim and protect their interests accordingly.