In Re SmarTalk Teleservices, Inc. Securities Litigation

How courts have described this case

Verbatim parenthetical descriptions written by other courts when citing this decision. Ranked by citation-network relevance.

• assuming that GAAP violations were evidence of the falsity of defendant company’s past financial statements
• finding that because the court had determined that plaintiffs had adequately pled scienter based on their allegations of accounting errors together with insider trading, their allegations were, for plead ing purposes, sufficient to show scienter for forward-looking statements
• holding PSLRA did not abolish group published information rule
• finding paraphrased statements of speaking defendants had sufficient detail of the substance of the alleged statement and put Defendants on notice of what statements are allegedly misleading to survive motion to dismiss
• “[S]uch allegations, although possibly sufficient to plead negligence, are insufficient to establish the strong inference of scienter necessary to state a securities fraud case.”
• specific allegations of insider trading in addition to magnitude of error allowed the court to draw an inference of scienter

Source: CourtListener parenthetical corpus (CC0).