Supreme Court Clarifies Basic Presumption Burden and Holds Courts Should Consider All Price Impact Evidence

On June 21, 2021, the U.S. Supreme Court held in Goldman Sachs Group Inc. v. Arkansas Teacher Retirement System, No. 20-222 (2021), that courts may consider at the class certification stage the generic nature of alleged misrepresentations as evidence of the lack of price impact in determining whether a defendant has rebutted the presumption of classwide reliance recognized in Basic Inc. v. Levinson, even though this may entail overlap with the merits question of materiality. The Court further...
By: Skadden, Arps, Slate, Meagher & Flom LLP

Array