Fenwick securities enforcement co-chair Susan Muck talked about
the latest in securities class action and derivative litigation at
the 2019 PLUS D&O Symposium in New York.
Muck explored the factors driving the record number and costs of
securities class actions during a panel titled "What's
Going on with Securities Class Action & Derivative
Litigation?"
According to Business Insurance, data presented at
the panel by Cornerstone Research and the Stanford Law School
Securities Class Action Clearinghouse noted that 8.4% of U.S.
exchange-listed companies were subject to litigation filed in
federal courts in 2018, compared with 3.7% in 2004.
"I think at this point you're primarily seeing
different law firms getting involved on the plaintiff side, and I
would characterize this set of firms as less discerning, bringing
back a bit of the race to the courthouse," Muck told the
panel. "For a long time, we saw cases filed weeks or months
after a stock price declined. Now,
