Choosing lead plaintiffs under the Private Securities Litigation Reform Act: Who shall lead?

The lead plaintiff provision of The Private Securities Litigation Reform Act of 1995 (Reform Act) was adopted by Congress in an effort to cure abusive filings and eliminate the "race to the courthouse" in securities litigation. The authors explore the history and purpose of the Reform Act, and the features of the lead plaintiff provision in general. They examine the application of the provision in practice, the differing judicial approaches to appointing lead plaintiffs, and policy issues that should be considered when determining how to apply the provision.