Supreme Court to review securities class action time limits

Filing attempts to revive previously dismissed case for multiple plaintiffs under previous ruling

The time limits to joining securities class action lawsuits have historically been justified for limiting the cost and time that a case could potentially eat up. Now the United States Supreme Court has decided to review those limits to determine whether or not time restrictions should be acceptable when a company misses a deadline but was part of similar but previously dismissed case.

The case in question started with a number of institutional investors filing a class action suit against mortgage securities that were tied to IndyMac MBS Inc., which failed during the financial crisis in 2008.  The defendants in the initial suit were the underwriters for the securities and included heavyweights like Goldman Sachs Inc. and Morgan Stanley.

Executive Editor

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Chris DiMarco

Chris DiMarco, Executive Editor of InsideCounsel magazine, has a background in multimedia production with previous involvement in projects in which he developed and created content...

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