United States Second Circuit

Denial of motion to dismiss plaintiff's complaint alleging securities violations is reversed where: 1) plaintiff-investment advisor lacked constitutional standing to bring suit for violations of the federal securities laws in its own name but on behalf of its clients, the beneficial owners of the relevant securities; 2) plaintiff did not demonstrate an "injury-in-fact" because it does not have legal title or ownership of its clients' claims; and 3) plaintiff's dual status as an attorney-in-fact for litigation purposes and an investment advisor with unfettered discretion over its clients' investment decisions did not confer on Article III standing to sue in a representative capacity on its clients' behalf.

Appellate Information

• Decided 12/03/2008
• Published 12/03/2008

Judges

Court

• United States Second Circuit

Counsel