United States Ninth Circuit

Once there exists sufficient indicia of fraud to cause a reasonable investor to inquire into whether he or she has been defrauded, the statute of limitations on a claim under section 10(b) of the Securities Exchange Act begins running when the investor, in the exercise of reasonable diligence, should have discovered the facts giving rise to his or her claim. In a federal securities fraud claim brought by a retired art dealer against her investment manager and others, summary judgment for defendants is reversed where there was a genuine issue of material fact whether plaintiff's claim was time barred.

Appellate Information

• Argued 02/12/2007
• Decided 10/04/2007
• Published 10/04/2007

Judges

• Before:  JOHN T. NOONAN, JR., RONALD M. GOULD, and JOHNNIE B. RAWLINSON, Circuit Judges.

Court

• United States Ninth Circuit

Counsel

• For Appellant:
  
• Joseph M. Alioto, San Francisco, CA, Theodore F. Schwartz, St. Louis, MO, and Myron Moskovitz, Berkeley, CA, for the plaintiff-appellant.


• For Appellees:
  
• Sara B. Brody and Alexander M.R. Lyon, Heller Ehrman, LLP, San Francisco, CA, for the defendants-appellees.