Securities litigation? Check. Then you are well on your way to getting your cert petition granted by the U.S. Supreme Court. After agreeing just last week to hear Omnicare and resolve a circuit split over the pleading of false opinions in Section 11 claims, the Court has come back this week with yet another grant of cert in a securities case.
Public Employees' Retirement System of Mississippi v. IndyMac MBS, Inc. presents the question of whether the filing of a securities class action tolls the applicable statute of repose for individual class members. The Second Circuit found that the statute of repose cannot be tolled because it "create[s] a substantive right in those protected to be free from liability after a legislatively-determined period of time" and "[p]ermitting a plaintiff to file a complaint or intervene after the repose period . . . has run would therefore necessarily enlarge or modify a substantive right and violate the Rules Enabling Act." The Court will hear the case next term.