Cal Public Employees' Retirement SYS. v. Anz Securities

U.S. Supreme Court · decided June 26, 2017 · Supreme Court Database (Spaeth)

Decided
June 26, 2017
Term
October Term 2016
Vote
5–4
Majority author
Justice Kennedy
Issue area
Judicial Power
Disposition
Affirmed
Outcome
Petitioning party lost
Ideological direction
Conservative

Opinion excerpt

Justice KENNEDY delivered the opinion of the Court. The suit giving rise to the case before the Court was filed by a plaintiff who was a member of a putative class in a class action but who later elected to withdraw and proceed in this separate suit, seeking recovery for the same illegalities that were alleged in the class suit. The class-action suit had been filed within the time permitted by statute. Whether the later, separate suit was also timely is the controlling question. I A The Securities Act of 1933 "protects investors by ensuring that companies issuing securities ... make a 'full and fair disclosure of information' relevant to a public offering." Omnicare, Inc. v. Laborers Dist. Council Constr. Industry Pension Fund, 575 U.S. ----, ----, 135 S.Ct. 1318, 1323, 191 L.Ed.2d 253 (2015) (quoting Pinter v. Dahl, 486 U.S. 622, 646, 108 S.Ct. 2063, 100 L.Ed.2d 658 (1988) ); see 48 Stat. 74, as amended, 15 U.S.C. § 77a et seq . Companies may offer securities to the public only after filing a registration statement, which must contain information about the company and the security for sale. Omnicare, 575 U.S., at ---- - ----, 135 S.Ct., at 1323. Section 11 of the Securities Act "promotes compliance with these disclosure provisions by giving purchasers a right of action against an issuer or designated individuals," including securities underwriters, for any material…

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