... In order to better understand this growing threat, the U.S. Chamber Institute for Legal Reform (ILR) initiated a new, comprehensive analysis of securities litigation in America. The recently issued report, “Securities Class Action Litigation: The Problem, Its Impact, and The Path to Reform,” which builds on the work of previous capital markets commissions and academic research, lays out substantial evidence that securities class action lawsuits are endangering the health of U.S. businesses, the prosperity of American families and the strength of our nation’s global competitiveness.
If that weren’t bad enough, the analysis also reveals that the system is often subject to extortion and abuse – as we’ve seen in the indictments and jailing of some of America’s most prominent securities plaintiffs’ lawyers.
In short: America’s securities class action system is broken, and now is the time for Congress to fix it. ...
