Matrix Capital Mgmt. Fund, LP v. BearingPoint, Inc., No. 08-1035

In a securities fraud action, dismissal of the complaint is affirmed where plaintiffs failed to adequately plead scienter under the Private Securities Litigation Reform Act. However, the "with prejudice" aspect of the dismissal is reversed where: 1) plaintiffs did not act in bad faith; 2) the filing of an amended complaint would not prejudice defendants; and 3) amendment would not be futile.

Read Matrix Capital Mgmt. Fund, LP v. BearingPoint, Inc., No. 08-1035

Appellate Information

Argued: January 29, 2009

Decided: July 31, 2009

Judges

Opinion by Judge Michael

Counsel

For Appellants:

Solomon B. Cera, Gold, Bennett, Cera & Sidener, L.L.P., San Francisco, CA

Pamela A. Markert, Gold, Bennett, Cera & Sidener, L.L.P., San Francisco, CA

For Appellees:

Richard Louis Brusca, Skadden, Arps, Slate, Meagher & Flom, L.L.P., Washington, DC

Jennifer L. Spaziano, Skadden, Arps, Slate, Meagher & Flom, L.L.P., Washington, DC