Securities Litigation

Securities Litigation is a legal practice area that involves representing clients in disputes related to securities law compliance and enforcement. This area of law is governed by federal and provincial statutes and regulations, which impose obligations and restrictions on issuers, investment dealers, registrants, investment funds, and other market participants.

Securities litigation disputes can arise in a variety of contexts, such as prospectus disclosure, insider trading, market manipulation, securities fraud, registration requirements, suitability, and other aspects of the securities industry. Clients in this area of law include public companies, financial institutions, investment dealers, and individuals.

In securities litigation, it is essential to have a strong understanding of the legal framework, as well as the underlying financial, accounting, and business issues that form the basis of a dispute. Our legal team will often work with experts in accounting, economics, and finance to provide comprehensive representation to clients.

The Securities Litigation practice area can encompass a range of services, including pre-litigation advice and counselling, responding to regulatory investigations, responding to enforcement actions, appearing before securities commissions, and advocating for clients in civil litigation. Our lawyers can provide advice and representation to clients in both administrative and civil proceedings, as well as regulatory investigations.

Common disputes in Securities Litigation include:

  • Securities Fraud: Securities fraud involves the intentional deception or misrepresentation of material facts related to the purchase or sale of securities.
  • Insider Trading: Insider trading involves trading in securities while in possession of material, non-public information about the issuer of those securities.
  • Prospectus Disclosure: A prospectus is a legal document that discloses information about securities being offered for sale to the public. Disputes may arise when the information in a prospectus is inaccurate, incomplete, or misleading.
  • Shareholder Actions: Shareholder actions include disputes related to the rights and obligations of shareholders, including voting rights, disclosure obligations, and remedies for oppression or breach of fiduciary duties.
  • Registration Requirements: Securities legislation imposes registration requirements on certain market participants, including dealers, advisors, and investment fund managers. Disputes may arise when a party fails to comply with these requirements.

Securities Litigation can be a complex and technical area of law, requiring a deep understanding of the relevant statutes and regulations, as well as expertise in the underlying financial, accounting, and business issues. With our multifaceted expertise, our firm is dedicated to providing comprehensive representation to clients in this area of law.

Core Practice Areas

Claims Involving Ontario's Securities Act

The Securities Act, R.S.O. 1990, c. S.5, is the primary source of securities laws in Ontario, governing the regulation of securities markets and the conduct of market participants. Claims involving Ontario’s Securities Act can arise from a variety of scenarios, such as market manipulation, insider trading, or non-compliance with prospectus requirements. Our team has a comprehensive understanding of the provisions of the Securities Act and can capably represent clients in a wide range of cases before the Ontario Securities Commission and in civil litigation proceedings.

Claims Against Private or Public Companies

Securities laws apply to any company that issues securities, whether private or public. Claims against private or public companies can stem from a variety of issues, such as fraudulent or misleading disclosure, material misrepresentation, or mismanagement of funds. Our team can represent both plaintiffs and defendants in cases involving claims against private or public companies. We understand the complexities of securities litigation and are equipped to help our clients navigate the legal landscape and protect their interests.

Claims Against Investment Funds and Fund Managers

Investment funds and fund managers are subject to regulatory oversight by the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association of Canada (MFDA), as well as by provincial securities commissions. Claims against investment funds and fund managers can arise from a variety of issues, such as conflicts of interest, breaches of fiduciary duty, or failure to disclose material information. Our team can represent clients in claims against investment funds and fund managers before self-regulatory organizations and in civil litigation proceedings. We understand the complexities of securities regulation and are dedicated to providing our clients with the guidance and advocacy they need to navigate this complex legal landscape.

Claims Against Cryptoasset Trading Platforms

Cryptoasset trading platforms have emerged as a popular destination for investors looking to trade digital assets, such as Bitcoin and Ethereum. However, the fast-paced, largely unregulated nature of the cryptocurrency market has created significant risks for investors. Claims against cryptoasset trading platforms arise when these platforms fail to comply with securities regulations or engage in fraudulent activity, resulting in harm to investors.

Cryptoasset trading platform claims can take various forms, such as:

  • Fraudulent misrepresentations: These claims may arise when a platform or its representatives make false statements or provide misleading information to investors. For instance, a platform may misrepresent its fees, security measures, or the nature of the assets it offers, causing investors to suffer financial harm.

  • Breach of contract: Investors who use a cryptoasset trading platform typically agree to a set of terms and conditions when they sign up. A breach of these terms and conditions by the platform may give rise to a claim for damages.

  • Securities law violations: Cryptoasset trading platforms are subject to securities regulations, including rules around the distribution and trading of securities. A platform that fails to comply with these regulations may face regulatory enforcement and legal action from affected investors.

Claims against cryptoasset trading platforms can be complex and challenging to navigate, requiring a deep understanding of the cryptocurrency market and relevant securities laws. Our securities litigation team can provide knowledgeable representation to investors who have suffered harm. We work closely with our clients to investigate and evaluate potential claims, develop a comprehensive legal strategy, and advocate for their interests in regulatory and legal proceedings.

Talk to a Securities Litigation Lawyer