The United States Supreme Court Will Review the Scope of Federal Preclusion of State Securities Claims

January 23, 2013

On January 18, 2013, the United States Supreme Court granted certiorari to resolve a circuit split concerning the extent to which the Securities Litigation Uniform Standards Act of 1998 (“SLUSA”) preempts state law claims that indirectly arise out of securities claims. The case could have important implications for investor suits against hedge funds and other investment funds that are not themselves covered by SLUSA, but that are set up for the purpose of investing in equities, options, and other covered securities.

Read “The United States Supreme Court Will Review the Scope of Federal Preclusion of State Securities Claims.”