Page:United States Statutes at Large Volume 109 Part 1.djvu/759

 J^fc4j" PUBLIC LAW 104-67—DEC. 22, 1995 109 STAT. 743 (b) SECURITIES ExcHi\NGE ACT OF 1934.—Title I of the Securities Exchange Act of 1934 (78a et seq.) is amended by inserting after section 21C the following new section: "SEC. 21D. PRIVATE SECURITIES LITIGATION. 15 USC 78u-4. "(a) PRIVATE CLASS ACTIONS. — "(1) IN GENERAL. —The provisions of this subsection shall apply in each private action arising under this title that is brought as a plaintiff class action pursuant to the Federal Rules of Civil Procedure. " (2) CERTIFICATION FILED WITH COMPLAINT. — "(A) IN GENERAL. —Each plaintiff seeking to serve as a representative party on behalf of a class shall provide a sworn certification, which shall be personally signed by such plaintiff and filed with the complaint, that— "(i) states that the plaintiff has reviewed the complaint and authorized its filing; "(ii) states that the plaintiff did not purchase the security that is the subject of the complaint at the direction of plaintiffs counsel or in order to participate in any private action arising under this title; "(iii) states that the plaintiff is willing to serve as a representative party on behalf of a class, including providing testimony at deposition and trial, if necessary; "(iv) sets forth all of the transactions of the plaintiff in the security that is the subject of the complaint during the class period specified in the complaint; "(v) identifies any other action under this title, filed during the 3-year period preceding the date on which the certification is signed by the plaintiff, in which the plaintiff has sought to serve as a representa- ' tive party on behalf of a class; and "(vi) states that the plaintiff will not accept any payment for serving as a representative party on behalf of a class beyond the plaintiffs pro rata share of any recovery, except as ordered or approved by the court in accordance with paragraph (4). " (B) NONWAIVER OF ATTORNEY-CLIENT PRIVILEGE.— The certification filed pursuant to subparagraph (A) shall not be construed to be a waiver of the attorney-client privilege. " (3) APPOINTMENT OF LEAD PLAINTIFF.— "(A) EARLY NOTICE TO CLASS MEMBERS.— Publication. "(i) IN GENERAL. — Not later than 20 days after the date on which the complaint is filed, the plaintiff or plaintiffs shall cause to be published, in a widely circulated national business-oriented publication or wire service, a notice advising members of the purported plaintiff class— "(I) of the pendency of the action, the claims asserted therein, and the purported class period; and "(II) that, not later than 60 days after the date on which the notice is published, any member of the purported class may move the court to serve as lead plaintiff of the purported class.

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