Underwriters Secure Partial Dismissal of Securities Class Action

On behalf of 14 underwriters of three Petrobras debt offerings from 2012 through 2014, Skadden secured a partial dismissal of a putative securities class action claiming the underwriter defendants failed to disclose that the offerings' registration statements contained material misstatements regarding the company's income statements and total assets. On July 9, Judge Jed Rakoff of the U.S. District Court for the Southern District of New York issued a "bottom line" order dismissing all claims based on the 2012 offering due to the statute of repose, all claims for plaintiffs who failed to alleged purchase of the securities in a domestic transaction, and certain claims based on the 2013 offering for failure to plead reliance.