Settlement May Scuttle Securities-Fraud Clash at Supreme Court

  • Leidos, investors say they have a settlement in principle
  • Argument scheduled for Nov. 6 in shareholder-report dispute

Visitors wait to enter the U.S. Supreme Court in Washington, D.C.

Photographer: Andrew Harrer/Bloomberg
Lock
This article is for subscribers only.

The U.S. Supreme Court may drop a scheduled securities-fraud clash after the two sides told the justices they are near a settlement.

The high court is scheduled to hear arguments Nov. 6 in a case stemming from a New York City contract fraud and Leidos Inc.’s $500 million settlement with the city in 2012. The case asks the court to clarify investors’ ability to sue companies for omitting information from shareholder reports.