"The Fifth Circuit first rejected the participant's argument that where, as here, an imprudence claim was based on publicly available information, he need not prove 'special circumstances' if the underlying allegations are that the stock was too risky as opposed to artificially inflated. The Fifth Circuit also disagreed with the participant's assertion that defendants' alleged fraud constituted a 'special circumstance,' because the alleged fraud was 'by definition not public information' and the participant did not allege how the alleged fraud would affect the stock's market price in light of all public information." [Kopp v. Klein, No. 16-11590 (5th Cir. June 27, 2018)]

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