Tuesday, May 07, 2013

Second Circuit -- Fezzani v. Bear, Stearns & Co.

Securities --

Pleading standard for private civil damage actions is higher than SEC civil actions -- knowing and substantial assistance in the fraud is insufficient.  (i.e., no specific reliance)

State statutory fraud claim stated.

Concur/Dissent:   Sufficient participation in the fraudulent scheme.  (i.e. fraud on the market)

Fezzani v. Bear, Stearns & Co.
Compiled by D.E. Frydrychowski, who is, not incidentally, not giving you legal advice.

Category tags above are sporadically maintained Do not rely. Do not rely. Do not rely.

Author's SSRN page here.