|
WASHINGTON (AP) - Investors who already had lost money on their stocks lost again at the Supreme Court Thursday when the justices imposed a strict standard for shareholders suing companies accused of fraud.
The 8-1 opinion written by Justice Ruth Bader Ginsburg makes it easier for companies and business executives to seek dismissal of investor lawsuits at the very start of a case.
A lawsuit will proceed only if the facts alleged in it are "cogent and compelling" in pointing to an intent to deceive investors, Ginsburg wrote. Those factual allegations must be at least as compelling as "any opposing inference" suggesting innocence, she added.
|