IPO Securities Litigation

The Initial Public Offering ("IPO") Securities Litigation consists of 309 class actions involving more than 300 IPOs marketed between 1998 and 2000. The actions are coordinated before U. District Court Judge Shira A. Scheindlin in the Southern District of New York. Wolf Haldenstein Adler Freeman & Herz LLP announced that the motion to dismiss in IN RE: IPO SECURITIES LITIGATION 21 MC 92 (SAS) was denied on February 20, 2003, by Judge Shira A. Scheindlin in the Southern District of New York. The Underwriter Defendants include, among others, Credit Suisse First Boston Corp., [NYSE:CSR]; The Goldman Sachs Group, Inc., [NYSE:GS]; Morgan Stanley Dean Witter & Co., [NYSE:MWD]; and Salomon Smith Barney, Inc., [NYSE:C].

A copy of the Opinion denying the motion to dismiss can be viewed by clicking the link to the right.

The cases were consolidated and Wolf Haldenstein was appointed one of the Co-lead Counsel and member of the Executive Committee. Amended complaints were filed and defendants moved to dismiss. On February 19, 2003, the Court, in part, denied defendants' Motion to Dismiss. The case will now proceed to the discovery investigatory phase in preparation for trial.

On October 13, 2004, the Court granted class certification in six focus cases. The Court's Opinion and Order can be accessed here.

On February 15, 2005, the Court issued an order preliminarily approving a partial settlement of $1 billion with the issuer defendants. Please click the link to the right to view and print the preliminary approval order.

On April 19, 2006, defendant J.P. Morgan Chase & Co. signed a Memorandum of Understanding, agreeing in principle to settle their part of the litigation for $425 million. Please click here to read the Wall Street Journal article.

On December 5, 2006, the United States Court of Appeals for the Second Circuit vacated the decision by the United States District Court for the Southern District of New York certifying as class actions six 'focus cases' in the Initial Public Offering Securities Litigation. At present, it is not known what impact, if any, the Second Circuit's decision will have upon the proposed settlement between the plaintiffs and the issuer defendants and their directors and officers, which would guarantee at least $1 billion to investors who are class members from the insurers of the issuers announced on June 26, 2003, or upon the plaintiffs' proposed settlement with J.P. Morgan Chase & Co. for $425 million announced on April 20, 2006. Nor is it known what ultimate impact the Second Circuit's decision will have upon the cases that comprise the Initial Public Offering Securities Litigation.

On April 1, 2009, a tentative settlement was reached by the parties for $586,000,000. This settlement is still subject to preliminary and final judicial approval.

Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has approximately 60 attorneys in various practice areas and offices in Chicago, New York City and San Diego. The reputation and expertise of this firm in shareholder and other class litigation have been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.

Wolf Haldenstein Adler Freeman & Herz LLP at 270 Madison Avenue, New York , New York 10016. Telephone: (800) 575-0735 (Fred Taylor Isquith, Esq., Thomas Burt, Esq., or Gustavo Bruckner, Esq.).

Related News

10/05/09
Court Approves Final Settlement in IPO Securities Litigation

06/24/09
Preliminary Approval of the Initial Public Offering Securities Litigation

12/12/06
Court vacates class cert in IPO Securities Litigation; Supreme Ct to hear antitrust case

04/21/06
J.P. Morgan Agrees To Settle IPO Case For $425 Million

02/20/03
WHAFH Announces Court Opinion Denying Motion to Dismiss in IPO Manipulation Class Action Suit

Case Documents

  Master Allegations Part 1

  Master Allegations Part 2

  Master Allegations Appendices A & B

  Second Circuit IPO decision on class certification

  Opinion and Order