O’Melveny Lawyers Available to Discuss Securities and Exchange Commission Report to Congress on International Securities Litigation and the Continued Impact of Supreme Court’s Morrison DecisionApril 13, 2012
CONTACT: Piper Hall
O’Melveny & Myers LLP
WHAT: Jeff Kilduff, Chair of O’Melveny & Myers LLP’s Securities Litigation Practice Group and a partner in the Firm’s Washington, DC office, and Matthew Close, a partner in O’Melveny’s Los Angeles office and member of the Securities Litigation Practice, are available to discuss the report submitted by the Securities and Exchange Commission to Congress this week on the continued impact of the US Supreme Court’s 2010 ruling on Morrison v. National Australia Bank and options for Congressional enactments to overrule or modify the Supreme Court’s decision. Kilduff and Close can comment on SEC Commissioner Luis Aguilar’s Dissenting Statement expressing “strong disappointment” in the Commission’s report and calling for specific Congressional action.
WHY: In the two years since Morrison, international securities litigation has increased and evolved. It has not been stifled or killed, as the critics of the Morrison decision have claimed. The O’Melveny lawyers note that:
Securities litigation against China-based companies dominated the securities case filings in 2011 and Morrison has not impacted those cases.
O’Melveny’s significant experience handling US securities litigation involving Chinese companies has revealed that many of the policy concerns underlying the Morrison debate -- international comity and applying US litigation and discovery norms globally -- are real and substantial.
Those advocating for a sweeping Congressional override of Morrison should take a closer look at the challenges US courts, investors, and the Public Company Accounting Oversight Board have had in applying US securities law to China-based companies and the reaction to those efforts from China.
US policymakers should also consider closely how securities litigation has developed in foreign countries since Morrison. The European Union and its member nations, and Canada, have seen numerous developments in their courts and legislative proposals as it relates to securities litigation.
These considerations and developments over the last two years substantially impact the traditional arguments for and against applying US securities laws to securities that are traded outside the US.
WHO: Kilduff concentrates his practice on securities litigation and enforcement matters as well as antitrust litigation and counseling. He maintains a wide-ranging practice that has included class action defense, the defense of derivative litigation on behalf of individuals and companies, internal corporate investigations, and compliance counseling.
Close has a diverse litigation practice with a major focus on representing corporations and their directors and officers in securities fraud, derivative, and breach of duty litigation, as well as in internal investigations and merger, acquisition, and asset sale disputes. He has been recognized as a “Rising Star” in securities litigation.
O’Melveny was one of the first law firms to recognize the emerging trend in litigation against US-listed, China based companies, forming a task force in early 2011 of US-based and China-based securities lawyers focusing on these types of cases, headed by O’Melveny partner Seth Aronson. The members of the task force are frequently quoted as authorities in the US and internationally on class actions and other litigation brought against non-US companies listed on US exchanges.
If you’d like to speak with Kilduff or Close, please contact Piper Hall at the numbers or e-mail listed above.
About O’Melveny & Myers LLP
With approximately 800 lawyers in 15 offices worldwide, O’Melveny & Myers LLP helps industry leaders across a broad array of sectors manage the complex challenges of succeeding in the global economy. We are a values-driven law firm, guided by the principles of excellence, leadership, and citizenship. Our commitment to these values is reflected in our dedication to improving access to justice through pro bono work and championing initiatives that increase the diversity of the legal profession. For more information, please visit www.omm.com