Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

Securities Litigation In 2023 Showing Continued Muscle Flexing from the SEC

By Jay A. Dubow, Joanna J. Cline and Kaitlin L. O'Donnell
April 01, 2023

With this year's securities law trends just beginning to take shape, we can anticipate what is on the horizon for 2023. Companies should expect to see the Securities and Exchange Commission (SEC) — armed with an additional $210 million in funding this year — continue to flex its regulatory muscles. With many market forecasters still predicting an economic downturn in 2023, companies can also expect shareholders to try and recoup any market losses through securities class action litigation.

Traditional securities fraud issues, such as market manipulation and insider trading, will remain priorities for both the government and private plaintiffs alike. But newer trends — such as environmental, social, and governance (ESG), cybersecurity-related disclosure violations, and cryptocurrency regulation — are likely to provide further fuel for securities litigation and enforcement.

|

A Big Year for the SEC and Private Plaintiffs

Last year saw a significant increase in SEC rulemaking and enforcement activity, as well as substantial alleged losses for securities class action plaintiffs. In fact, 2022 was a record-setting year for the SEC, which assessed more in civil penalties than at any other point in history. These trends — aggressive SEC enforcement and hefty loss allegations — will likely continue into 2023.

This premium content is locked for Entertainment Law & Finance subscribers only

  • Stay current on the latest information, rulings, regulations, and trends
  • Includes practical, must-have information on copyrights, royalties, AI, and more
  • Tap into expert guidance from top entertainment lawyers and experts

For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473

Read These Next
How Secure Is the AI System Your Law Firm Is Using? Image

In a profession where confidentiality is paramount, failing to address AI security concerns could have disastrous consequences. It is vital that law firms and those in related industries ask the right questions about AI security to protect their clients and their reputation.

COVID-19 and Lease Negotiations: Early Termination Provisions Image

During the COVID-19 pandemic, some tenants were able to negotiate termination agreements with their landlords. But even though a landlord may agree to terminate a lease to regain control of a defaulting tenant's space without costly and lengthy litigation, typically a defaulting tenant that otherwise has no contractual right to terminate its lease will be in a much weaker bargaining position with respect to the conditions for termination.

Pleading Importation: ITC Decisions Highlight Need for Adequate Evidentiary Support Image

The International Trade Commission is empowered to block the importation into the United States of products that infringe U.S. intellectual property rights, In the past, the ITC generally instituted investigations without questioning the importation allegations in the complaint, however in several recent cases, the ITC declined to institute an investigation as to certain proposed respondents due to inadequate pleading of importation.

The Power of Your Inner Circle: Turning Friends and Social Contacts Into Business Allies Image

Practical strategies to explore doing business with friends and social contacts in a way that respects relationships and maximizes opportunities.

Authentic Communications Today Increase Success for Value-Driven Clients Image

As the relationship between in-house and outside counsel continues to evolve, lawyers must continue to foster a client-first mindset, offer business-focused solutions, and embrace technology that helps deliver work faster and more efficiently.