The Supreme Court handed a partial victory to Salesforce in a case surrounding its communications product Slack Technologies by limiting the ability of shareholders to sue over misleading statements.
The justices unanimously set aside a lower court ruling that allowed a shareholder suit to move ahead. Republican-appointed Justice Neil Gorsuch authored the majority opinion, writing that federal securities law allows lawsuits over company registration statements only by people who hold shares issued under those statements.Justices took their first look at direct listings since the Securities and Exchange Commission authorized the practice in 2018.
Pirani argued Slack made misleading statements about service outages and, additionally, the competition it faced from Teams, Microsoft's rival software. At least half of the 283 million shares that became available for sale as part of Slack's direct listing were exempt from registration under the SEC's 2018 rules. When Slack's stock price dropped, Pirani sued.
The justices left one aspect of the suit untouched, asking the U.S. Court of Appeals for the 9th Circuit to revisit its decision that allowed Pirani to move forward on a separate provision of the securities law covering prospectuses and oral communications.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Supreme Court just shriveled protection for wetlands, leaving many of these valuable ecosystems at risk | OpinionFor the last 45 years the EPA and the Corps have required discharge permits in wetlands “adjacent” to water bodies, even if a dune, levee or other barrier separated the two. The Sackett decision upends that approach.
Read more »
COVID-19 pandemic doesn’t trigger property tax break, Colorado Supreme Court rulesThe justices found that the COVID-19 pandemic was not an “act of nature” that would allow property owners to seek re-assessment of their property values outside of the normal two-year property tax assessment cycle,
Read more »
U.S. Supreme Court declines to hear bid to sue Reddit over child pornThe U.S. Supreme Court on Tuesday declined to hear a bid by child pornography victims to overcome a legal shield for internet companies in a case involving a lawsuit accusing Reddit Inc of violating federal law by failing to rid the discussion website of this illegal content.
Read more »
Supreme Court Turns Down Lawsuit Blaming Reddit for Child PornA former minor and parents of minors joined forces to sue Reddit in a California federal court in 2021, accusing Reddit of failing to remove sexually exploitative content and profiting off the posts.
Read more »
Supreme Court rejects case against Reddit over child porn, sex traffickingThe Supreme Court on Tuesday declined a chance to strike a blow to the legal shield protecting Big Tech in a case against Reddit over child pornography allegations.
Read more »
US Supreme Court spurns ex-Shkreli lawyer Greebel's challenge to prosecutorsThe U.S. Supreme Court on Tuesday declined to hear a bid by a New York lawyer to restrict how much money federal prosecutors can take from his 401(k) retirement accounts to compensate fraud victims after he was convicted in a scheme involving former pharmaceutical executive Martin Shkreli.
Read more »