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GRIMES v. VITALINK COMMUNICATIONS CORP.

No. 93-1268.

17 F.3d 1553 (1994)

C.L. GRIMES and G.W. Holbrook, on their own behalf and on behalf of all persons similarly situated, Appellants v. VITALINK COMMUNICATIONS CORPORATION; Network Systems Corporation; Leslie G. Denend; J. Daniel McCranie; Charles J. Abbe; Harry T. Rein; Lyle D. Altman.

United States Court of Appeals, Third Circuit.

Decided March 9, 1994.

Sur Petition for Rehearing April 6, 1994.

Attorney(s) appearing for the Case

Thaddeus Holt (argued), Kittredge, Donley, Elson, Fullem & Embrick, Philadelphia, PA, counsel for appellants C.L. Grimes and G.W. Holbrook.

Steven J. Rothschild (argued), Skadden, Arps, Slate, Meagher & Flom, Wilmington, DE, counsel for appellees Vitalink Communications Corporation, Network Systems Corporation, Leslie G. Denend, J. Daniel McCranie, Charles J. Abbe, Harry T. Rein, Lyle D. Altman.

Before: HUTCHINSON, COWEN and NYGAARD Circuit Judges.

OPINION OF THE COURT

COWEN, Circuit Judge.

This case presents the question whether a state court has the power to allow parties as part of a comprehensive court-approved settlement to release exclusive federal securities law claims arising from the same transaction or occurrence as the state law matters before it, even though the state court would not have jurisdiction to hear the federal claims in the first instance. A subsidiary issue presented is whether...

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