Underwriters of Barclays ADS Secure Class Action Victory

Skadden secured summary judgment in a securities class action on behalf of a syndicate of underwriters of an April 2008 public offering of Barclays Bank PLC's Series 5 American depositary shares. Following the announcement of certain writedowns relating to the credit crisis, the plaintiffs brought suit alleging that the offering materials failed to properly disclose Barclays' exposure to the credit markets. In a September 13 opinion and order, Judge Paul Crotty of the U.S. District Court for the Southern District of New York granted the defendants summary judgment, finding that none of the plaintiff's alleged misstatements or omissions was actionable and that Barclays had established its negative loss causation defense.