Deep pockets fuel shareholder claims despite few rulings, Law360

Partner Aymen Mahmoud spoke with Law360 about the continued growth of shareholder claims against UK-listed companies, despite limited case law addressing key questions around reliance, loss and recovery.

The article highlights McDermott Will & Schulte’s claim on behalf of more than 100 institutional investors against British American Tobacco, as well as the broader rise in shareholder litigation under the Financial Services and Markets Act 2000.

Commenting on the limited number of substantive judgments to date, Aymen said, “The relative absence of judgments in the area suggests that out-of-court settlements are being agreed.”

He also cautioned against viewing the trend simply as the arrival of US-style class actions in the UK: “These are claims grounded in English law and being pursued through the English courts.”

Read the full article in Law360.

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