United States Supreme Court
Merrill Lynch, Pierce, Fenner & Smith Inc. v. Manning, 14-1132
In a suit brought by a former Escala shareholder-plaintiff claiming that he lost most of his investment when the share price plummeted after defendants devalued Escala through "naked short sales" of its stock, alleging that defendant's actions violated New Jersey law, the Third Circuit's reversal of the District Court's denial of plaintiff's motion to remand the case to state court, is affirmed where the jurisdictional test established by section 27 of the Securities Exchange Act of 1934 is the same as 28 U.S.C. section 1331's test for deciding if a case 'arises under' a federal law.
Appellate Information
- Published 2016/05/16
Judges
- KAGAN
Court
- United States Supreme Court