Christin Hill spoke with Bloomberg Law about the annual report from Cornerstone Research and the Stanford Law Review Securities Class Action Clearinghouse.
According to the report, cases involving special purpose acquisition companies (SPACs) are up more than six-fold.
"SPACs are seen as a way to go public faster than a traditional IPO," said Christin. "The plaintiff's bar therefore sees SPACs as an indication that these companies may not be ready for prime time, which leads to increased scrutiny, and ultimately more SPAC-related filings."
"One thing we haven't seen yet, but I expect to see in the future, are securities class actions arising from ESG disclosures," Christin said, referring to environmental, social, and governance matters.
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Originally published by Bloomberg Law
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