Ruling on Issue of First Impression, Ninth Circuit Issues Decision on Statutory Standing in Direct Listing Cases
By EsqSocial Corporation 24/09/21
On September 20, 2021, in the first case by a U.S. Court of Appeals to have considered the issue, the Ninth Circuit U.S. Court of Appeals held that a shareholder plaintiff had statutory standing to pursue claims under Sections 11 and 12(a)(2) of the Securities Act of 1933 stemming from a direct listing even though he could not prove that he purchased shares that were subject to the issuer’s registration statement and offering prospectus. See Pirani v. Slack Techs., Inc., No. 20-16419, 2021 WL...
By: Skadden, Arps, Slate, Meagher & Flom LLP