MILLER v. THANE INTERN., INC.

No. 09-55474.

615 F.3d 1095 (2010)

Howard MILLER, on behalf of himself and all others similarly situated, Plaintiff, and Joseph J. Milkowski, Plaintiff-Appellant, v. THANE INTERNATIONAL, INC.; William F. Hay; Denise Dubarryhay; Kevin J. McKeon; Mark Taylor, Defendants-Appellees.

United States Court of Appeals, Ninth Circuit.

Filed August 9, 2010.


Attorney(s) appearing for the Case

Joel C. Feffer, Harwood Feffer LLP, New York, NY, argued the cause and filed the briefs for the plaintiffs-appellants. Daniella Quitt, Harwood Feffer LLP, New York, NY, and Lionel Z. Glancy, Glancy Binkow & Goldberg LLP, Los Angeles, CA, were also on the briefs.

Daniel J. Tyukody, Orrick, Herrington & Sutcliffe LLP, Los Angeles, CA, argued the cause and filed the brief for the defendants-appellees. Michael C. Tu and Jason L. Krajcer, both of Orrick, Herrington & Sutcliffe LLP, Los Angeles, CA, were also on the brief.

Before DIARMUID F. O'SCANNLAIN and RICHARD C. TALLMAN, Circuit Judges, and FREDERIC BLOCK, Senior District Judge.


OPINION

O'SCANNLAIN, Circuit Judge:

We must decide whether a material misrepresentation in a prospectus caused actionable loss to shareholders when the price of the company's stock did not decline in the weeks immediately following disclosure of the correct information.

I

A

Section 12(a)(2) of the Securities Act of 1933 imposes civil liability on "any person who ... offers or sells a security... by the use of any means or instruments...

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