151838P.pdf   02/10/2016  Rand-Heart of New York, Inc.  v.  James P. Dolan
   U.S. Court of Appeals Case No:  15-1838
   U.S. District Court for the District of Minnesota - Minneapolis   
   [PUBLISHED] [Benton, Author, with Smith and Bye, Circuit Judges] 
   Civil case - Securities. The district court erred in dismissing this 
   putative class action on the ground that plaintiff failed to allege 
   scienter under Section 10(b) and Rule 10b-5, thereby precluding secondary 
   liability under Section 20(a), as the allegations of the complaint, taken 
   as true established that the company's financial instability was, at 
   least, so obvious that defendant must have been aware of it; defendant's 
   statements about "double digit" growth and "lumpiness" were not protected 
   by the Securities Exchange Act's safe-harbor provisions as the statements 
   about the company's expected performance were material and were not 
   accompanied by meaningful cautionary language; the district court did not 
   err in finding no loss-causation for one period covered by the complaint.