Stay of Discovery
To prevent discovery until a court has deemed a securities fraud complaint sufficient, the PSLRA also imposes a stay of all discovery "during the pendency of any motion to dismiss." This stay operates against all parties, including both plaintiffs and defendants.
The Securities Litigation Uniform Standards Act amends this provision to allow a federal court to impose the discovery stay on related securities suits in state court.
Read more about this topic: Private Securities Litigation Reform Act
Famous quotes containing the words stay and/or discovery:
“If I should go out of church whenever I hear a false statement I could never stay there five minutes. But why come out? The street is as false as the church, and when I get to my house, or to my manners, or to my speech, I have not got away from the lie.”
—Ralph Waldo Emerson (1803–1882)
“The new supplants the old. Yet men’s minds are stuffed with outworn bunk. Educating the young in the latest findings of authorities and scholars in the social sciences is important. It is equally important to devise ways and means for aiding the middle-aged and old to reexamine hang-over unscientific doctrines and ideas in the light of recent discovery and research.”
—Mary Barnett Gilson (1877–?)