Upcoming Supreme Court Argument in Facebook v. Amalgamated Bank

In this episode of S&C’s Critical Insights, Jeff Scott and Julia Malkina, Co-Heads of S&C’s Securities Litigation Practice, discuss the upcoming November 6 oral argument in Facebook v. Amalgamated Bank and its implications for companies’ risk disclosures and potential litigation regarding those disclosures.  The issue before the Court is whether a company’s risk disclosures are false or misleading when they do not disclose that a risk has materialized in the past—and if so, under what circumstances. Public companies routinely make such risk disclosures, so this case has the potential to have significant effects both on companies’ disclosure practices and potential exposure.