In re: Stone Webster Inc Securities Litigation Llc’s Empirical Analysis

Citation profile

4 district · 1 state decisions

Most-quoted passages

The sentences later courts lift from this opinion, ranked by how many decisions quote each — the parts of the opinion doing the work. These counts are smaller than the citation total above because most of the 6 citing decisions cite the case generally; a passage count includes only decisions quoting that exact language verbatim.

1. “We recognize that a plaintiff must show under § 20(a) that the controlled entity committed a violation of the securities laws. If that violation was, for example, a violation of Rule 10b-5, which requires a proof of scienter, then the plaintiff under § 20(a) must prove that the controlled entity acted with “a particular state of mind.” Nonetheless, if the statute is read literally, the strong-inference requirement of the PSLRA does not apply. The statute states that the strong-inference requirement applies only where the plaintiffs recovery depends on proof that “the defendant acted with a particular state of mind” (emphasis added). The obligation to prove that the controlled corporation acted with scien-ter does not involve an obligation to prove “that the defendant acted with a particular state of mind.””

   1 later decision quote this exact passage
   e.g. 445 F. Supp. 2d 130 - Quaak v. Dexia, S.A.

2. “Every person who, directly or indirectly, controls any person liable under any provision of this chapter or of any rule or regulation thereunder shall also be liable jointly and severally with and to the same extent as such controlled person to any person to whom such controlled person is liable, unless the corn-trolling person acted in good faith and did not directly or indirectly induce the act or acts constituting the violation or cause of action.”

   1 later decision quote this exact passage
   e.g. 416 F. Supp. 2d 239 - Brumbaugh v. Wave Systems Corp.

3. “This ruling also was provisional. We recognized possible policy arguments which, notwithstanding the words of the statute, might counsel against allowing prosecution of a secondary claim in circumstances where the predicate claim, standing alone, would be dismissed for failure to meet the PSLRA’s strong-inference requirement. In view of the fact that defendants had not advanced such an argument, we left its final resolution for another day.”

   1 later decision quote this exact passage
   e.g. 445 F. Supp. 2d 130 - Quaak v. Dexia, S.A.