SEMERENKO v. CENDANT CORP.

Nos. 99-5355, 99-5356.

223 F.3d 165 (2000)

George SEMERENKO v. CENDANT CORP.; Walter A. Forbes; E. Kirk Shelton; Cosmo Corigliano; Christopher K. McLeod; Ernst & Young LLP. George Semerenko, individually and on behalf of all others similarly situated, Appellant. P. Schoenfeld Asset Management LLC, on behalf of itself and all others similarly situated, Appellant, v. Cendant Corp.; Walter A. Forbes; E. Kirk Shelton; Cosmo Corigliano; Christopher K. McLeod; Ernst & Young LLP.

United States Court of Appeals, Third Circuit.

Opinion Filed June 16, 2000.

Amended Opinion Filed August 10, 2000.


Attorney(s) appearing for the Case

Arthur N. Abbey [Argued], Jill S. Abrams, Stephen J. Fearon, Jr., Nancy Kaboolian, Abbey, Gardy & Squitieri, LLP, New York, NY, Allyn Z. Lite, Joseph J. DePalma, Mary Jean Pizza, Lite, DePalma, Greenberg & Rivas, LLC, Newark, NJ, Andrew Barroway, David Kessler, Schiffrin & Barroway, Cynwyd, PA, for Appellants George Semerenko and P. Schoenfeld Management, LLC.

Jonathan J. Lerner, Samuel Kadet [Argued], Skadden, Arps, Slate, Meagher & Flom LLP, New York, NY, Michael M. Rosenbaum, Carl Greenberg, Budd Larner, Gross, Rosenbaum, Greenberg & Sade, P.C., Short Hills, NJ, for Appellee Cendant Corporation.

James M. Hirschhorn, Steven S. Radin, Sills, Cummis, Radin, Tischman, Epstein & Gross, P.A., Newark, NJ, Dennis J. Block [Argued], Howard R. Hawkins, Jr., Cadwalader, Wickersham & Taft, New York, NY, Greg A. Danilow, Timothy E. Hoeffner, Weil, Gotshal & Manges LLP, New York, NY, for Appellees Walter Forbes and Christopher McLeod.

Richard Schaeffer [Argued], Bruce Handler, Dornbush, Mensch, Mandelstam & Schaeffer, LLP, New York, NY, for Appellee E. Kirk Shelton.

Gary P. Naftalis, Kramer, Levin, Naftalis & Frankel, New York, NY, for Appellee Cosmo Corigliano.

Alan N. Salpeter, Michele Odorizzi, Mayer, Brown & Platt, Chicago, IL, William P. Hammer, Jr., J. Andrew Heaton, [Argued], Ernst & Young LLP, Washington, DC, Douglas S. Eakeley, Lowenstein Sandler, Roseland, NJ, for Ernst & Young LLP.

Harvey J. Goldschmid, General Counsel, Jacob H. Stillman, Solicitor, Eric Summergrad, Deputy Solicitor, Hope Hall Augustini, Special Counsel, Securities & Exchange Commission, Washington, DC, for Amicus-Appellant Securities and Exchange Commission.

BEFORE: MANSMANN and GREENBERG, Circuit Judges and ALARCON, Senior Circuit Judge.


OPINION OF THE COURT

ALARCON, Senior Circuit Judge.

I

The P. Schoenfeld Asset Management LLC and the class of similarly situated investors (collectively, the "Class") appeal from the order of the district court dismissing their claims for securities fraud pursuant to Rule 12(b)(6) of the Federal Rules of Civil Procedure. The Class's complaint was filed under § 10(b) of the Securities Exchange Act of 1934 (the "Exchange Act") and Rule 10b-5...

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