The Securities and Exchange Commission (SEC) recently changed its policy on mandatory arbitration clauses. This is a major development for investors across the country. The change affects how shareholders can pursue fraud or misconduct claims against companies whose...
Nationwide Class Action Law Firm
Securities & Investment Fraud
Selecting lead plaintiffs and counsel under PSLRA
The Private Securities Litigation Reform Act (PSLRA) sets rules for appointing the most adequate plaintiff in federal securities fraud class action lawsuits. Generally, the investor or small group of investors who have the largest financial interest in the litigation...
Can hiding cyber risks count as securities fraud?
Yes, hiding known cyber risks can count as securities fraud when your silence misleads investors about the company’s true exposure. If you fail to disclose a data breach or a serious vulnerability, you turn a technical issue into a legal one. Investors depend on...
What is the role of whistleblowers when dealing with securities fraud?
Whistleblowers often provide insider knowledge to help identify fraudulent activities within companies. Their disclosures can provide important information about complex schemes that might otherwise remain hidden from regulators and the public. These contributions are...
Fiduciary duty breaches and your right to hold advisors liable
A fiduciary duty requires financial advisors to act in their clients’ best interests at all times. When that duty is violated, the consequences extend beyond financial loss—it can also break the trust that forms the foundation of the advisor-client relationship. This...
What public companies must legally share with investors
When you invest in a publicly traded company, you’re not doing it blind. That’s because securities laws require these companies to share material facts with you — facts that an investor would consider important when deciding whether to buy, hold, or sell a stock. And...
Understanding AI Washing and Securities Fraud Class Action Lawsuits
In recent years, the rise of artificial intelligence (AI) has sparked excitement and innovation across various industries. However, this enthusiasm has also led to a troubling trend known as "AI washing," where companies exaggerate or falsely claim the capabilities of...
How to deal with stock fraud: A guide for investors
Stock fraud can be a daunting experience for investors, but understanding how to identify and respond to it can protect you and your investments. Stock fraud, often called securities fraud, involves deceptive practices in the stock market that lead to investors making...
How to identify securities and investment fraud
In the ever-evolving world of finance, finding new investment opportunities can be easy. Yet, there is also an abundance of fraudulent schemes that prey on investors. Fortunately, recognizing the warning signs can help you safeguard your financial future....
What to know about pump-and-dump schemes
A pump-and-dump scheme is a type of securities fraud in which the price of a stock or other asset is artificially inflated ("pumped") through publication of false or misleading statements. Once the price goes up, the fraudsters sell off ("dump") their shares at the...