The U.S. Supreme Court announced yesterday that it will not hear a plea to clarify the issue of “loss causation.” SCOTUSblog reports that on Monday, the Court
refused to hear a plea that it clarify the amount of proof that investors must produce to show that a decline in the price of stock they bought can be traced to fraud in violation of federal securities law. The issue was the theory to be used for judging “loss causation” in securities transactions; the case was Gilead Sciences, et al., v. St. Clare, et al. (08-1021).
