Merrill Lynch Secures Affirmance of ARS Class Action Dismissal

Skadden secured the affirmance of a dismissal of an antitrust class action brought against Merrill Lynch and several other financial institutions relating to their near-simultaneous exits from the failing auction-rate securities market in 2008. On March 5, a panel for the U.S. Court of Appeals for the Second Circuit upheld a lower court's 2010 dismissal (also handled by Skadden), finding that investors and issuers failed to allege facts sufficient to infer that the banks had conspired with each other in connection with their market exit.