Vanessa Simmonds alleged in 54 separate complaints that several investment banks shared in the profits of customers who received IPO. Case opinion for US Supreme Court CREDIT SUISSE SECURITIES (USA) LLC ET AL. v. SIMMONDS. Read the Court’s full decision on. Vanessa Simmonds brought suit under Section 16(b) of the Securities Exchange Act of in order to recoup profits realized by Credit Suisse and other.

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Credit Suisse v. Simmonds

Securities Exchange Act of Retrieved from ” https: Petitioners maintain that these suits were properly dismissed because they were filed more than two years after the alleged profits were realized. Issue Should Section 16 b of the Securities Exchange Act of be construed as a statute of repose, and, if so, is it permissible to toll a statute of repose until the disclosure requirements of Section 16 a have been met?

The United States warns that, if the time limitation is not tolledviolators of Sinmonds 16 a would profit from their wrongs: See Brief of Amicus Curiae U. Simmonds—like the Ninth Circuit in Whittaker—disregards the most glaring indication that Congress did not intend that the limitations period be categorically tolled until the statement is filed: Nat’l Credit Union Admin.

Simmonds Visual Similar Judgments. Petitioners maintain that these suits were properly dismissed because they were filed more than two years af-ter the alleged profits were realized. The IPO investors claimed that the underwriters achieved this artificial price inflation in three ways.


This page was last edited on 8 Octoberat Awarded the Peabody Award for excellence in electronic media. KurtzmanVan Orden v. The District Court dismissed all fifty-four complaints because they were brought outside the time limitation in Section 16 bwhich states that suits under Section 16 b cannot be brought more than two years after the date on which the profit in question was realized.

The lower courts should consider in the first instance how usual equitable tolling rules apply in this case. Steager Department of Commerce v. On the other hand, the Chamber of Commerce insists that tolling is unwarranted because Congress intended to tie the xuisse period to the date the profits were realized, not the date of the harm to the plaintiff.

Haymond United States v. Credit Suisse further argues that Congress intended for Section 16 b to be a statute of repose because of the concern that extending liability would harm business and encourage false claims.

Statute of Limitations Securities and Exchange Commission: Utah,Simmonds argues that the Whittaker rule isbest understood as applying legal—rather than equitable—tolling. The Supreme Court granted certiorari on June 27, BillingU.

Credit Suisse Securities (USA) LLC v. Simmonds – Wikipedia

The Chamber of Commerce insists that, when enacting Section 16, Congress prioritized a policy of repose over protecting investors crwdit undiscovered violations. United States District Court, D. Wyoming Home Depot U. Simmonds maintains that failing to apply the Whittaker rule would obstruct Congress’s objective of curbing short-swing speculation by corporate insiders.


In this case, the Supreme Court will decide whether Section 16 b of the Securities Exchange Act of can be tolled in order to extend the period of time in which a plaintiff can bring suit to recoup profits made by defendants in the course of short-swing trading.

Credit Suisse Securities v. Simmonds – SCOTUSblog

United States, ex rel. Simmonds also named the issuing companies as suiswe defendants. The potential for such endless tolling in cases in which a reasonably diligent plaintiff would know of the facts underlying the action is out of step with the purpose of limitations periods in general.

Republic of Sudan v. First, the underwriters engaged in ladderingin which they entered into agreements that induced customers to purchase additional shares at higher prices.

In a representative complaint, she alleged that the underwriters and the issuers’ insiders employed various mechanisms to inflate the aftermarket price of the stock to a level above the IPO price, allowing them to profit from the aftermarket sale.

Statute of Repose Wex: Section 16 itself quite clearly does not extend the period in that manner. And it is especially at odds with a provision that imposes strict liability on putative insiders, see Gollust, U. United States District Court, M.