Compared to other jurisdictions, the UK has been slow to develop a route map for commencing & managing securities claims. Christian Tuddenham & Clare Hennessey explain why
- An overview of the claims that can be brought by disgruntled investors under the Financial Services and Markets Act 2000.
- The current status of jurisprudence and procedure in relation to these claims and future claims.
Securities litigation generally refers to claims brought by shareholders against listed companies, seeking to recover losses suffered due to a fall in the price of their shares, usually in the wake of allegations of mismanagement or wrongdoing and often against a backdrop of regulatory action.
These kinds of claims are seen relatively frequently in other jurisdictions including, notably, the US and Australia, but despite the availability of statutory redress, they have been slower to take off in the UK.
What claims can be brought?
The primary mechanism for claims in respect of publicly traded securities is statutory—pursuant to ss 90 and 90A of and Sch 10A to the Financial Services and Markets Act 2000 (FSMA
