Putnam Prevails in One of the Largest MDLs in U.S. History

A federal judge presiding over one of the largest multidistrict litigations in U.S. history granted summary judgment on April 14 in favor of Skadden client Putnam Investments, a Boston-based mutual fund complex accused of improper market timing activities. Judge Frederick Motz of the District of Maryland found that Putnam was not liable under Rule 10b-5 because plaintiffs could neither establish scienter (intent to deceive) nor overcome Putnam's showing that its earlier regulatory settlements more than offset any damages. For Putnam, the rulings brings to a close one track in an odyssey that began almost six years ago.