Groups Urge Congressional Scrutiny of D.C. Attorney General’s Use of Private Attorneys
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In Re FirstEnergy Corporation Securities Litigation
(6th COA, filed February 16, 2024): Arguing that the district court’s erroneous expansion of affiliated ute undermines the reliance requirements. The affiliated ute presumption applies only to claims based on omissions, not misstatements of half-truths. The district court abdicated its responsibility under Comcast to conduct a rigorous analysis of plaintiffs’ damages model. Left uncorrected, the district court’s decision will expand securities fraud class actions and impose significant costs on American businesses.
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