Skip to main content
Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0
While it was a "partial" win for BOFI, it is not over by a long shot. The Court simply found that Plaintiff had not specifically related his accusations of wrongdoing to a specific sectional violation of either the Sarbanes-Oxley or Frank Dodd Acts. In other words, the Court found that Plaintiff did not allege which specific facts constituted an alleged violation of which specific sub-section of either act. The Court granted leave to amend by October 17, 2016 to allege the violations more specifically.

The Court did not address the other 8 causes of action under supplemental jurisdiction as it had dismissed the first two, with leave to amend.

What does this mean? Plaintiff has until 10/17/16 to file a First Amended Complaint to state which alleged wrongful acts violated specific provisions of these acts. While this is a pretty low standard, Defendant could again bring a 12(b)(6) Motion to Dismiss if the allegations are insufficient.

My analysis: This was BOFI's riposte in response to the Complaint, but expect to see a FAC filed by 10/17/16.

DISCLOSURE: I am an attorney but do not practice in this area of law. I hold a position in BOFI.
Print the post  

Announcements

What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.