Compass Lexecon pioneered the application of the modern theory of finance to issues relating to securities fraud, insider trading, market manipulation, and other forms of securities litigation. We are a leader in the use of statistical methods in securities litigation.
Compass Lexecon’s economists provide consulting assistance and testify regularly in securities cases on issues relating to market efficiency, causation, materiality, class certification, and damages. We provide consulting assistance and testimony in tax litigation on issues relating to economic effects, economics substance, risk management, transfer pricing, and valuation. Our economists have authored articles on the use of financial economics in securities litigation that have been cited favorably by numerous courts, including the U.S. Supreme Court. Compass Lexecon has been retained in matters in the U.S. and Canada as well as in Europe, Asia, South America, Australia, and New Zealand.
Compass Lexecon has been involved in some of the most prominent issues facing corporate America in recent years including:
• Mutual Fund Market Timing
• Options Backdating
• IPO Allocations
• Contested Mergers
• Class Action Litigation Brought Under Securities Laws
• Class Action Litigation Brought Under ERISA - Compass Lexecon originated the concept of analyzing data on participant holdings and transactions in company stock funds to evaluate potential conflicts between class members that are relevant to class certification.