
Over the last few days, at least three U.S.-listed China-based companies have been hit with securities class action lawsuits after Chinese government regulatory crackdowns that targeted the defendant companies’ industries or the companies’ business approach. These developments not only highlight the kinds of regulatory risks all companies face, but also underscore the risks that companies doing business in China face in the political and business environment under the Chinese governmental regime. The recently filed cases also show how these risks can translate into securities class action litigation when the companies involved have securities listed on U.S. exchanges.Continue Reading Chinese Regulators Crack Down, Securities Suits Follow