Sectors
Foley & Lardner LLP partner Patrick Daugherty is quoted in the Corporate Counsel article, “Corporate Executives Shouldn’t Let Their Guard Down With a Friendlier SEC, Experts Say,” addressing how shifts in SEC enforcement priorities may affect securities litigation and regulatory risk.
Daugherty anticipates that “Private plaintiffs will bring the kind of cases that the prior SEC might have brought,” he noted, identifying the cryptocurrency industry as a likely target.
He also cautioned that “State attorneys general have a different mandate. They enforce state law, in our dual system, of federal and state securities regulation. That’s an important role to play. So they will continue to bring cases where they believe securities law was violated, even if the SEC does not.”
On the likelihood that SEC interpretations might be overturned, Daugherty noted that courts may still consider agency guidance when it is persuasive, concluding, “If the SEC is persuasive, it should persuade the court.”
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