Securities Class Action Practice Group

In the wake of the Great Depression, Congress enacted two statutes that prohibit fraudulent, deceptive and manipulative conduct in the purchase and sale of securities – the Securities Act of 1933 and the Securities Exchange Act of 1934. Pursuant to these statutes, companies whose stocks trade on national exchanges, as well as their officers and directors, must provide the investing public with complete and accurate information regarding their companies, in a timely manner. When these entities and individuals fail to do so, their individual and institutional shareholders suffer financial harm.

Bernstein Liebhard LLP (the “Firm”) has over twenty-two years of experience fighting for investors who have been victimized by securities fraud. From the Firm’s inception, our attorneys have represented classes of investors who purchased securities in the open market at prices that were artificially inflated by materially false and misleading public statements, and in securities offerings that were registered and sold by using a materially false and misleading registration statement and prospectus.

The Firm’s Securities Class Action Litigation Practice Group has succeeded in recovering¬†over $3 billion on behalf of its clients. ¬†Bernstein Liebhard LLP is among a select group of law firms recognized for its track record in fighting securities fraud in class action litigation. Indeed, Bernstein Liebhard LLP has represented institutional and individual investors in some of the largest and most significant securities fraud actions in history, including:

In re Initial Public Offering Securities Litigation, No. 21 MC 92 (S.D.N.Y.) ($586 million recovery). Throughout eight years of hard-fought litigation, Stanley D. Bernstein, Chairman of the Executive Committee, led all plaintiffs’ counsel in litigating this enormously complex case consisting of more than 300 coordinated actions involving corporate issuers that were brought public between 1998 and 2000. These enormously complex lawsuits alleged that the initial public offerings were manipulated by the issuers, their officers and directors, and investment banks to artificially inflate the market price of those securities and to reap excessive compensation, and that their conduct was concealed from the public, in violation of the federal securities laws.

In re Marsh & McLennan Cos., Inc. Securities Litigation, No. 04-CV-8144 (CM) (S.D.N.Y.) ($400 million recovery). The Firm represented a large institutional investor in this securities class action against the world’s largest insurance broker, Marsh & McLennan Cos., Inc. (“MMC”) which, after five years of challenging litigation, recently received court approval of a $400 million settlement. The case arises from Marsh Inc.’s (a subsidiary of MMC) now notorious practice of steering its clients to insurance companies that agreed to pay it billions of dollars in contingent commissions.

In re Royal Dutch/Shell Transport Securities Litigation, No. 04-374 (JAP) (D.N.J.), The Firm represented a large institutional investor in one of the larges securities class actions litigated in the United States. The case arose from Royal Dutch/Shell’s announcements in 2004 that it had overstated its proved oil and gas reserves – a key performance indicator in the hydrocarbon industry – by 5.8 billion barrels of oil equivalent, or one-third of its proved reserves. The case settled in 2008 for a minimum cash benefit of $130 million and a contingent value of more than $180 million, in addition to a $350 million European settlement for which the court recognized the Firm as a “substantial factor” in bringing about.

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