Supreme Court Rejects Private Lawsuits Under Investment Company Act in Closed-End Fund Dispute
The U.S. Supreme Court, in a 6-3 ruling on June 11, sided with a group of closed-end investment funds affiliated with major asset managers, reversing a lower court decision that allowed private lawsuits under the Investment Company Act of 1940. The case centered on bylaw provisions that limit voting power of large shareholders and whether private p…