ARKANSAS TEACHERS RETIRE. v. GOLDMAN SACHS GRP.

Docket No. 16-250 August Term 2016.

879 F.3d 474 (2018)

ARKANSAS TEACHERS RETIREMENT SYSTEM, West Virginia Investment Management Board, Plumbers and Pipefitters Pension Group, Ilene Richman, Individually and on Behalf of All Others Similarly Situated, Pablo Elizondo, Howard Sorkin, Individually and on Behalf of All Others Similarly Situated, Tivka Bochner, Ehsan Afshani, Louis Gold, Thomas Draft, Individually and on Behalf of All Others Similarly Situated, Plaintiffs-Appellees, v. GOLDMAN SACHS GROUP, INC., Lloyd C. Blankfein, David A. Viniar, Gary D. Cohn, Defendants-Appellants.

United States Court of Appeals, Second Circuit.

Decided: January 12, 2018.


Attorney(s) appearing for the Case

THOMAS C. GOLDSTEIN , Goldstein & Russell, P.C., Bethesda, MD ( Susan K. Alexander , Andrew Love , Robbins Geller Rudman & Dowd LLP, San Francisco, CA; Thomas A. Dubbs , James W. Johnson , Michael H. Rogers , Labaton Sucharow LLP, New York, NY, on the brief) for Plaintiffs-Appellees.

ROBERT J. GIUFFRA, JR. , ( Richard H. Klapper , David M.J. Rein , on the brief), Sullivan & Cromwell LLP, New York, NY, for Defendants-Appellants.

Max W. Berger , Salvatore J. Graziano , Bernstein Litowitz Berger & Grossmann LLP, New York, NY; Blair Nicholas , Bernstein Litowitz Berger & Grossmann LLP, San Diego, CA; Robert D. Klausner , Klausner, Kaufman, Jensen & Levinson, Plantation, FL, for Amicus Curiae National Conference on Public Employee Retirement Systems in support of Plaintiffs-Appellees.

Rachel S. Bloomekatz , Deepak Gupta , Gupta Wessler PLLC, Washington, D.C.; Mark I. Gross , Jeremy A. Lieberman , Pomerantz LLP, New York, NY; Robert D. Klausner , Klausner, Kaufman, Jensen & Levinson, Plantation, FL, for Amicus Curiae Louisiana Sheriffs' Pension and Relief Fund in support of Plaintiffs-Appellees.

Daniel P. Chiplock , Lieff Cabraser Heimann & Bernstein, LLP, New York, NY, for Amicus Curiae National Association of Shareholder and Consumer Attorneys in support of Plaintiffs-Appellees.

Jeffrey W. Golan , Barrack, Rodos & Bacine, Philadelphia, PA; James A. Feldman , Washington, D.C., for Amici Curiae Evidence Scholars in support of Plaintiffs-Appellees.

Barbara A. Jones , AARP Foundation Litigation, Pasadena, CA, for Amici Curiae AARP and AARP Foundation in support of Plaintiffs-Appellees.

David Kessler , Kessler Topaz Meltzer & Check, LLP, Radnor, PA; Ernest A. Young , Apex, NC, for Amici Curiae Procedure Scholars in support of Plaintiffs-Appellees.

Robert V. Prongay , Glancy Prongay & Murray LLP, Los Angeles, CA, for Amici Curiae Securities Law Professors in support of Plaintiffs-Appellees.

George T. Conway III , Wachtell, Lipton, Rosen & Katz, New York, NY, for Amici Curiae Former SEC Officials and Law Professors in support of Defendants-Appellants.

Charles E. Davidow , Marc Falcone , Robyn Tarnofsky , Paul, Weiss, Rifkind, Wharton & Garrison LLP, Washington, D.C.; Ira D. Hammerman , Kevin M. Carroll , Securities Industry & Financial Markets Association, Washington, D.C., for Amicus Curiae Securities Industry & Financial Markets Association in support of Defendants-Appellants.

Lewis J. Liman , Cleary Gottlieb Steen & Hamilton LLP, New York, NY; Kate Comerford Todd , U.S. Chamber Litigation Center, Inc., Washington, D.C., for Amicus Curiae Chamber of Commerce of the United States of America in support of Defendants-Appellants.

Before: Cabranes, Wesley, Circuit Judges, Sessions, District Judge.


Investors in a securities fraud class action traditionally have a problem proving that "questions of law or fact common to class members predominate over ... questions affecting only individual members" under Federal Rule of Civil Procedure 23(b)(3). The presumption established in Basic Inc. v. Levinson,

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