MORRISON v. NATIONAL AUSTRALIA BANK LTD.

Docket No. 07-0583-cv.

547 F.3d 167 (2008)

Robert MORRISON, individually and on behalf of all others similarly situated, Russell Leslie Owen, Brian Silverlock and Geraldine Silverlock, Plaintiffs-Appellants, Maria Kennedy, Harvard B. Kolm and Norman Hauge, Plaintiffs, v. NATIONAL AUSTRALIA BANK LTD., Homeside Lending Inc., Frank Cicutto, Hugh Harris, Kevin Race and W. Blake Wilson, Defendants-Appellees.

United States Court of Appeals, Second Circuit.

Decided: October 23, 2008.


Attorney(s) appearing for the Case

Thomas A. Dubbs (James W. Johnson and Barry Michael Okun, on the brief), Labaton Sucharow & Rudoff LLP, New York, NY, for Appellants Robert Morrison, Russell Leslie Owen, Brian Silverlock and Geraldine Silverlock.

George T. Conway III, Wachtell, Lipton, Rosen & Katz, New York, NY, for Appellees National Australia Bank Limited and Frank Cicutto.

A. Graham Allen, Rogers Towers, P.A., Jacksonville, FL, for Appellees Hugh Harris, Kevin Race and W. Blake Wilson.

Eric Seiler, Friedman Kaplan Seiler & Adelman LLP, New York, NY, for Appellee Washington Mutual Bank, S.A., as successor in interest to HomeSide Lending, Inc.

Louis R. Cohen, Ali M. Stoeppelwerth, Justin S. Rubin, Wilmer Cutler Pickering Hale and Dorr LLP, Washington, DC; Daniel C. Richenthal, Wilmer Cutler Pickering Hale and Dorr LLP, New York, NY; Daniel J. Popeo, Paul D. Kamenar, Washington Legal Foundation, Washington, DC for Washington Legal Foundation, Amicus Curiae in Support of Appellees.

John K. Villa, Richard A. Olderman, Williams & Connolly LLP, Washington, DC; Susan Hacker, Association of Corporate Counsel for The Association of Corporate Counsel, Amicus Curiae in Support of Appellees.

Deborah M. Buell, Giovanni P. Prezioso, Andrew A. Bernstein, David H. Herrington, Anna A. Makanju, Cleary Gottlieb Steen & Hamilton LLP, New York, NY; Ira D. Hammerman and Kevin M. Carroll, Securities Industry and Financial Markets Association, Washington, DC; Robin S. Conrad and Amar D. Sarwal, National Chamber Litigation Center, Inc., Washington, DC; Charlene B. Flick, United States Council for International Business, New York, N.Y. for the Securities Industry and Financial Markets Association, the Chamber of the Commerce of the United States of America, the United States Council for International Business, and the Association Francaise des Entreprises Privees, Amici Curiae in Support of Appellees.

Brian G. Cartwright, Andrew N. Vollmer, Jacob H. Stillman, Mark Pennington, William K. Shirey, Securities and Exchange Commission, Washington, DC, Amicus Curiae in Response to the Court's Request.

Before: NEWMAN, CALABRESI, B.D. PARKER, Circuit Judges.


B.D. PARKER, JR., Circuit Judge:

BACKGROUND

This appeal requires us to revisit the vexing question of the extraterritorial application of the securities laws, Rule 10b-5 in particular. Founded in 1858, headquartered in Melbourne, and incorporated under Australian law, the National Australia Bank ("NAB") calls itself Australia's largest bank. In 2000, its Australian business accounted for roughly 55% of its assets and revenues, with its international operations...

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