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Don’t you love it when the Judiciary speaks plainly? Surely the judge knows from where his bread is buttered. So you know, it is never about Justice, it’s always about Dollars and Cents.
Court Limits Shareholder Suits Against Vendors, Banks (Update1)
By Greg Stohr
Jan. 15 (Bloomberg) -- The U.S. Supreme Court put new limits on shareholders suits against a company's banks and business partners in a ruling that may hinder efforts to recoup billions of dollars lost in frauds at Enron Corp. and HealthSouth Corp.
The justices, voting 5-3, threw out a lawsuit by Charter Communications Inc. shareholders against two of the cable company's suppliers, Motorola Inc. and Scientific-Atlanta Inc. The court said the shareholders didn't show they relied on the alleged deception by the suppliers in making investment decisions.
Allowing additional shareholder lawsuits ``may raise the cost of being a publicly traded company under our law and shift securities offerings away from domestic capital markets,'' Justice Anthony Kennedy wrote for the court.
By Greg Stohr
Jan. 15 (Bloomberg) -- The U.S. Supreme Court put new limits on shareholders suits against a company's banks and business partners in a ruling that may hinder efforts to recoup billions of dollars lost in frauds at Enron Corp. and HealthSouth Corp.
The justices, voting 5-3, threw out a lawsuit by Charter Communications Inc. shareholders against two of the cable company's suppliers, Motorola Inc. and Scientific-Atlanta Inc. The court said the shareholders didn't show they relied on the alleged deception by the suppliers in making investment decisions.
Allowing additional shareholder lawsuits ``may raise the cost of being a publicly traded company under our law and shift securities offerings away from domestic capital markets,'' Justice Anthony Kennedy wrote for the court.
Don’t you love it when the Judiciary speaks plainly? Surely the judge knows from where his bread is buttered. So you know, it is never about Justice, it’s always about Dollars and Cents.