Case Study: Tutor Perini Corp. v. Banc of Am. Secs. LLC
This case's dispute, in the wake of the financial meltdown of 2008, was the securities fraud case. The allegations, so typical of securities cases, was that a company withheld information that it should have disclosed to protect its cash flow and operations. The court had to untangle the story of a faltering company and management's attempts to arrest its decline and stave off bankruptcy. Is limiting "client exposure" to poor results considered wrongful nondisclosure for security purposes? This case goes through the First Circuit Court of Appeals face-intensive analysis of such a question.
The case can be found here: