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SCOTUS Grants Certiorari to Decide Whether Automatic Discovery Stay Applies to Securities Act Cases in State Court | Goodwin
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Supreme Court to Decide Whether the Automatic Stay of Discovery In Securities Act Claims Applies In State Court | Epstein Becker & Green
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SCOTUS to Decide if Securities Claims Apply in State Court
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On July 2, 2021, the Supreme Court granted the petition for writ of
certiorari in
Pivotal Software v. Tran, a case with significant implications for litigation brought under the Securities Act of 1933. The issue in
Pivotal Software is whether the provision in the Private Securities Litigation Reform Act of 1995 (PSLRA), which requires that “in any private action arising under” the Securities Act, “all discovery and other proceedings shall be stayed during the pendency of any motion to dismiss,”
1 applies to Securities Act cases brought in state court, and not just those in federal court.
This issue has taken on greater significance since the Supreme Court’s decision in
Supreme Court to Review Whether PSLRA Automatic Stay of Discovery Applies in Securities Act Cases Filed in State Court | Kramer Levin Naftalis & Frankel LLP
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