Corporate Governance

NERA Reports On 2010 Securities Class Action Trends

By Tamar Weinrib

On December 14, 2010, NERA Economic Consulting released its report, entitled "Trends 2010 Year-End Update," an annual year-end study of securities class action lawsuit filings and settlements.  The most significant findings were that class action filings increased substantially in the second half of the year and median class action settlements hit an all-time high of $11.1 million in 2010, which is more than a third higher than the 2009 median.  Interestingly, the study found that though companies in the financial sector remain the most frequently targeted, the number of credit crisis-related lawsuits continues to decline and more than half of these new lawsuits against companies in the financial sector were unrelated to the credit crisis.  Health technology firms, electronic technology, technology services sector, and the for-profit education sector also saw a significant rise in securities class action filings.

Full post as published by PomTalk on December 15, 2010 (boomark / email).