Paul, Weiss is widely recognized as having one of the nation’s preeminent securities litigation and regulatory practices. For two decades, our lawyers have guided global corporations and financial institutions through a series of “bet-the-company” securities-related crises, consistently reducing or eliminating their most damaging claims and negotiating favorable resolutions.
YA Global Granted Summary Judgment on Short-Swing Trading Claims
- Client News
- May 6, 2016
Practices
Judge Kevin McNulty of the United States District Court for the District of New Jersey granted summary judgment to Paul, Weiss client YA Global Investments, L.P., ruling that claims against YA Global to recover short-swing profits in connection with its investments in NeoMedia Technologies, Inc. several years ago are time-barred. Judge McNulty's decision is the first in the country holding that two-year limitations period under the Securities Exchange Act for Section 16(b) claims is a statute of repose that is not subject to equitable tolling. The United States Supreme Court split on that issue 4-4, with Chief Justice John Roberts recusing, in 2012. Judge McNulty also ruled that, even if the statute could be tolled, the plaintiff's claims would not qualify for tolling, because the facts needed to assert his claims were disclosed in NeoMedia's public filings more than two years before plaintiff filed his claims.
The Paul, Weiss team included litigation partner Daniel Kramer and counsel Robert Kravitz.