Letter to the SEC Urges Protection of the Right to Bring Shareholder Lawsuits

133 state and national entities have written to SEC Chair Jay Clayton urging him to protect the right of shareholders to sue corporate management in court and not restrict them to binding arbitration. The full text of the letter is attached below. Arbitration letter 08.21.18-Updated-SEC-Sign-on-Letter-Forced-Arbitration An excerpt: The 133 under-signed organizations work on behalf of…

State Treasurers Urge SEC to Maintain Investors’ Right to Sue – Bloomberg

State treasurers from California, Illinois, Iowa, Oregon, Pennsylvania and Rhode Island are joining a push to persuade U.S. Securities and Exchange Commission Chairman Jay Clayton to uphold the agency’s longstanding position against mandatory shareholder arbitration clauses.In a letter dated July 2, the treasurers led by California’s John Chiang expressed concern about reports that the SEC…

SEC Weighs a Big Gift to Companies: Blocking Investor Lawsuits – Bloomberg

In its determination to reverse a two-decade slump in U.S. stock listings, a regulator might offer companies an extreme incentive to go public: the ability to bar aggrieved shareholders from suing.The Securities and Exchange Commission in its long history has never allowed companies to sell shares in initial public offerings while also letting them ban…

Equifax Lobbied To Kill Rule Protecting Victims Of Data Breaches

As Equifax acknowledges a massive security breach making the names, addresses, social security numbers and more available for fraud and disruption and it appears executives, including the CFO, sold stock before making this information public, it also comes out that Equifax lobbied to make it more difficult for consumers to get damages for exactly this…