Oh, Canada! Northern Neighbor Becoming New Hot Spot for Big Securities Claims

[WSJ Law Blog]

In recent years, securities-class actions have sort of flatlined in the U.S. But up in Canada, it's a different story. Securities class-actions are trending strongly upward -- if not booming -- and U.S.-based lawyers are sitting up to pay attention. Click here for the WSJ story on the trend.

Part of the interest in Canada among U.S. lawyers — who are watching Milberg’s move closely — follows the 2010 Morrison v. National Australia Bank Ltd. ruling from the U.S. Supreme Court. In the case, the court ruled that plaintiff classes in securities cases should be restricted to investors who purchased shares on U.S. exchanges. It reined in the number of participants — and dollar values — of some class actions, and is causing some plaintiffs’ lawyers to look for business opportunities abroad, including in Canada.

Whether lawyers’ interest in building an industry in Canada will last is unclear. The country’s legal system poses some unfamiliar challenges for plaintiffs.

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