From our private database of 33,600+ case briefs...
Slayton v. American Express Co.
United States Court of Appeals for the Second Circuit
460 F.3d 215 (2006)
Andrew and Adam Slayton (the Slaytons) (plaintiffs) filed a class-action lawsuit against American Express Co. (Amex) (defendant), alleging securities fraud arising from a $182 million devaluation of Amex’s high-yield portfolio. After the devaluation, Amex assured its investors that it expected future losses in the high-yield portfolio to be much lower. In the Slaytons’ initial complaint, they made two allegations pursuant to which issues were raised on appeal. First, the Slaytons claimed that Amex failed to disclose to investors that its decision makers did not fully understand the complicated risks associated with some of its high-yield investments. Second, the Slaytons claimed that, after the devaluation, Amex failed to disclose the full extent of its exposure in its high-yield investments and instead continued to misunderstand the risks involved along with concealing the continuing losses sustained after the devaluation. The Slaytons later amended their complaint to include two additional allegations: first, that Amex failed to disclose its lack of risk-management controls and second, that Amex failed to disclose that it did not use proper valuation methods, nor did it comply with generally accepted accounting practices. The amended complaint was filed after the statute of limitations had run, and the trial court ruled that the new allegations did not relate back to the original complaint and were therefore time-barred. The Slaytons appealed to the United States Court of Appeals for the Second Circuit.
Rule of Law
Holding and Reasoning (Winter, J.)
What to do next…
Unlock this case brief with a free (no-commitment) trial membership of Quimbee.
You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 602,000 law students since 2011. Some law schools—such as Yale, Berkeley, and Northwestern—even subscribe directly to Quimbee for all their law students.Unlock this case briefRead our student testimonials
Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.
Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students.Learn about our approachRead more about Quimbee
Here's why 602,000 law students have relied on our case briefs:
- Written by law professors and practitioners, not other law students. 33,600 briefs, keyed to 984 casebooks. Top-notch customer support.
- The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
- Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
- Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.