"Gaming the System: Corporate Disclosures and Information Bundling" by Jonathan D. Uslaner published in Reuters
September 9, 2021
In this Reuters article, Jonathan Uslaner looks at an increasingly popular tactic used by corporate executives against defrauded shareholders: information bundling. Executives utilize this tactic by simultaneously releasing facts indicating that they violated the securities laws alongside unrelated disclosures in order to try to obscure the market’s reaction to the violation and hinder shareholders’ ability to recover. The authors discuss how corporate executives use this bundling disclosure tactic to harm defrauded shareholders, review the SEC’s recent criticism of the practice, and discuss effective tools investor-plaintiffs rely upon to combat it in the courtroom.
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