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{link: 'http://hdl.loc.gov/loc.uscongress/legislation.105s1260',title: 'Thomas - Bill Summary and Status - S.1260' }

S.1260
Title: A bill to amend the Securities Act of 1933 and the Securities Exchange Act of 1934 to limit the conduct of securities class actions under State law, and for other purposes.
Sponsor: Sen Gramm, Phil [TX] (introduced 10/7/1997)      Cosponsors (42)
Related Bills: H.R.1689
Latest Major Action: Became Public Law No: 105-353 [GPO: Text, PDF]
Senate Reports: 105-182; Latest Conference Report: 105-803 (in Congressional Record H10771-10776)
Jump to: Summary, Major Actions, All Actions, Titles, Cosponsors, Committees, Related Bill Details, Amendments
SUMMARY AS OF:
10/9/1998--Conference report filed in House.    (There are 4 other summaries)

TABLE OF CONTENTS:

Title I: Securities Litigation Uniform Standards

Title II: Reauthorization of the Securities and Exchange

Commission

Title III: Clerical and Technical Amendments

Securities Litigation Uniform Standards Act of 1998 - Title I: Securities Litigation Uniform Standards - Amends the Securities Act of 1933 and the Securities Exchange Act of 1934 to prohibit any private class action based upon State statutory or common law in State or Federal court by any private party alleging: (1) an untrue statement or omission in connection with the purchase or sale of a covered security; or (2) that the defendant used any manipulative or deceptive device in connection with such a transaction.

(Sec. 101) Declares that any class action brought in any State court involving a covered security shall be removable to the Federal district court for the district in which the action is pending.

Exempts from such prohibition certain class actions based upon statutory or common law of the State in which the issuer is either incorporated or organized. Declares that such a class action may be maintained in State or Federal court by a private party if it involves: (1) the purchase or sale of securities by the issuer (or an affiliate) exclusively from or to holders of the issuer's equity securities; or (2) any communication about such a sale made by or on behalf of the issuer (or an affiliate) to such equity security holders concerning their decisions with respect to voting their securities, acting in response to a tender or exchange offer, or exercising dissenters' or appraisal rights.

Declares that nothing precludes a State, any political subdivision, or a State pension plan from bringing an action involving a covered security either on its own behalf, or as a member of a class composed solely of other States, political subdivisions, or State pension plans that are named plaintiffs and have authorized participation in such action.

Permits a class action suit in State or Federal court to enforce a contractual agreement between an issuer and an indenture trustee to be maintained by a party to the agreement or a successor to such party.

Requires the Federal court to remand an action to State court upon determining that such action may be maintained in State court.

Retains the jurisdiction of a State securities commission to investigate and bring enforcement actions.

Retains State court discretion to determine whether actions filed before should be joined, consolidated, or otherwise allowed to proceed as a single action.

Authorizes the Federal court to stay private action discovery proceedings in State court in order to aid its jurisdiction or protect or effectuate its judgments if such discovery would be subject to a stay under this Act (thus precluding a private action to circumvent a Federal stay by proceeding in State court).

(Sec. 102) Directs the Securities and Exchange Commission (SEC) to: (1) seek to encourage the adoption of State laws providing for reciprocal enforcement by State securities commissions of subpoenas issued by a sister State securities commission to compel attendance, testimony, or production of documentation in connection with an alleged violation of State securities laws; and (2) submit a status report on such reciprocity to the Congress.

Title II: Reauthorization of the Securities and Exchange Commission - Authorizes appropriations for the SEC for FY 1999.

(Sec. 202) Amends the Securities Exchange Act of 1934 to repeal certification, filing, and reporting requirements governing the electronic data gathering, analysis, and retrieval system (EDGAR).

Authorizes the SEC to: (1) establish its own criteria for the selection of its professional economists; (2) appoint such economists directly; and (3) determine their compensation without regard to specified law. Sets forth compensation limits.

Title III: Clerical and Technical Amendments - Makes technical and conforming amendments to laws affected by this Act.

(Sec. 302) Amends the Securities Act of 1933 to provide that securities subject to certain State hearings are exempt from Federal registration requirements.

MAJOR ACTIONS:

10/7/1997 Introduced in Senate
5/4/1998 Committee on Banking. Reported to Senate by Senator D'Amato with an amendment in the nature of a substitute. With written report No. 105-182. Additional views filed.
5/13/1998 Passed/agreed to in Senate: Passed Senate with an amendment by Yea-Nay Vote. 79-21. Record Vote No: 135.
7/22/1998 Passed/agreed to in House: On passage Passed without objection.
10/9/1998 Conference report H. Rept. 105-803 filed.
10/13/1998 Conference report agreed to in Senate: Senate agreed to conference report by Unanimous Consent.
10/13/1998 Conference report agreed to in House: On motion to suspend the rules and agree to the conference report Agreed to by the Yeas and Nays: (2/3 required): 319 - 82, 1 Present (Roll No. 528).
10/13/1998 Cleared for White House.
10/22/1998 Presented to President.
11/3/1998 Signed by President.
11/3/1998 Became Public Law No: 105-353 [Text, PDF]
ALL ACTIONS: (Floor Actions/Congressional Record Page References)
10/7/1997:
Sponsor introductory remarks on measure. (CR S10475)
10/7/1997:
Read twice and referred to the Committee on Banking.
10/29/1997:
Subcommittee on Securities. Hearings held. Hearings printed: S.Hrg. 105-420.
2/23/1998:
Subcommittee on Securities. Hearings held. Hearings printed: S.Hrg. 105-897.
4/29/1998:
Committee on Banking. Ordered to be reported with an amendment in the nature of a substitute favorably.
5/4/1998:
Committee on Banking. Reported to Senate by Senator D'Amato with an amendment in the nature of a substitute. With written report No. 105-182. Additional views filed.
5/4/1998:
Placed on Senate Legislative Calendar under General Orders. Calendar No. 355.
5/13/1998:
Measure laid before Senate by unanimous consent. (consideration: CR S4778-4816)
5/13/1998:
S.AMDT.2394 Proposed by Senator Feingold.
To amend certain Federal civil rights statutes to prevent the involuntary application of arbitration to claims that arise from unlawful employment discrimination based on race, color, religion, sex, national origin, age, or disability, and for other purposes.
5/13/1998:
S.AMDT.2394 Proposed amendment SP 2394 withdrawn in Senate.
5/13/1998:
S.AMDT.2395 Proposed by Senator Sarbanes.
To provide that the appropriate State statute of limitations shall apply to certain actions removed to Federal court.
5/13/1998:
S.AMDT.2396 Proposed by Senator Sarbanes.
To make amendments with respect to the definition of a class action, and for other purposes.
5/13/1998:
S.AMDT.2395 Motion to table SP 2395 agreed to in Senate by Yea-Nay Vote. 69-30. Record Vote No: 133.
5/13/1998:
S.AMDT.2396 Motion to table SP 2396 agreed to in Senate by Yea-Nay Vote. 72-27. Record Vote No: 134.
5/13/1998:
S.AMDT.2397 Proposed by Senator Sarbanes.
To preserve the right of a State or a political subdivision thereof or a State pension plan from bringing actions under the securities laws.
5/13/1998:
S.AMDT.2397 Amendment SP 2397 agreed to in Senate by Voice Vote.
5/13/1998:
S.AMDT.2398 Proposed by Senator Biden.
To amend the bill with respect to title 18, United States Code.
5/13/1998:
S.AMDT.2398 Proposed amendment SP 2398 withdrawn in Senate.
5/13/1998:
The committee substitute as amended agreed to by Voice Vote.
5/13/1998:
Passed Senate with an amendment by Yea-Nay Vote. 79-21. Record Vote No: 135.
5/14/1998 10:01am:
Received in the House.
5/14/1998:
Message on Senate action sent to the House.
5/14/1998 3:34pm:
Held at the desk.
7/22/1998 4:15pm:
Mr. Bliley asked unanimous consent to take from the Speaker's table and consider.
7/22/1998 4:15pm:
Considered by unanimous consent. (consideration: CR H6120-6121)
7/22/1998 4:15pm:
The House struck all after the enacting clause and inserted in lieu thereof the provisions of a similar measure H.R. 1689. Agreed to without objection.
7/22/1998 4:15pm:
On passage Passed without objection.
7/22/1998 4:16pm:
Motion to reconsider laid on the table Agreed to without objection.
7/22/1998 4:16pm:
A similar measure H.R. 1689 was laid on the table without objection.
7/23/1998:
Message on House action received in Senate and at desk: House amendment to Senate bill.
7/29/1998:
Senate disagreed to House amendment requested conference and appointed conferees. D'Amato; Gramm; Shelby; Sarbanes; Dodd. (consideration: CR S9318)
7/30/1998:
Message on Senate action sent to the House.
9/16/1998 8:08pm:
Mr. Oxley asked unanimous consent that the House insist upon its amendment, and agree to a conference. (consideration: CR H7888)
9/16/1998 8:08pm:
On motion that the House insist upon its amendment, and agree to a conference Agreed to without objection.
9/16/1998 8:08pm:
Motion to reconsider laid on the table Agreed to without objection.
9/16/1998 8:09pm:
The Speaker appointed conferees: Bliley, Oxley, Tauzin, Cox, White, Dingell, Stupak, and Eshoo.
10/9/1998:
Conferees agreed to file conference report. (text of conference report missing one page of Statement of Managers: CR H10266-10270; conference report subsequently reprinted)
10/9/1998:
Conference papers: Senate report and managers' statement and official papers held at the desk in Senate.
10/9/1998 1:55pm:
Conference report H. Rept. 105-803 filed. (complete text of conference report: CR 10/13/1998 H10771-10776)
10/13/1998:
Senate agreed to conference report by Unanimous Consent.
10/13/1998:
Message on Senate action sent to the House.
10/13/1998 3:01pm:
Mr. Bliley moved to suspend the rules and agree to the conference report, H. Rept. 105-803. (consideration: CR S12444-12450)
10/13/1998 3:02pm:
DEBATE - The House proceeded with forty minutes of debate.
10/13/1998 3:11pm:
CORRECTION OF MANAGERS STATEMENT - Mr. Bliley asked unanimous consent that the Statement of Managers contained in the House version of the conference report be corrected to reflect the Statement of Managers contained in the Senate version. Agreed to without objection.
10/13/1998 3:47pm:
At the conclusion of debate the Chair put the question on agreeing to the conference report by voice vote and announced that the ayes had prevailed. Mr. Dingell objected to the voice vote pending the absence of a quorum. Further proceedings were postponed. The point of no quorum was considered as withdrawn.
10/13/1998 6:17pm:
The House proceeded to consider the conference report H.Rept. 105-803 as unfinished business. (consideration: CR H10771-10787, H10800-10801)
10/13/1998 6:26pm:
Motions to reconsider laid on the table Agreed to without objection.
10/13/1998 6:26pm:
On motion to suspend the rules and agree to the conference report Agreed to by the Yeas and Nays: (2/3 required): 319 - 82, 1 Present (Roll No. 528). (consideration: CR H10801)
10/13/1998:
Cleared for White House.
10/22/1998:
Presented to President.
11/3/1998:
Signed by President.
11/3/1998:
Became Public Law No: 105-353.
TITLE(S):  (italics indicate a title for a portion of a bill)
COSPONSORS(42), ALPHABETICAL [followed by Cosponsors withdrawn]:     (Sort: by date)

COMMITTEE(S):
RELATED BILL DETAILS:  (additional related bills may be indentified in Status)
AMENDMENT(S):

1. S.AMDT.2394 to S.1260 To amend certain Federal civil rights statutes to prevent the involuntary application of arbitration to claims that arise from unlawful employment discrimination based on race, color, religion, sex, national origin, age, or disability, and for other purposes.
Sponsor: Sen Feingold, Russell D. [WI] (introduced 5/13/1998)      Cosponsors (None)
Latest Major Action: 5/13/1998 Proposed amendment SP 2394 withdrawn in Senate.

2. S.AMDT.2395 to S.1260 To provide that the appropriate State statute of limitations shall apply to certain actions removed to Federal court.
Sponsor: Sen Sarbanes, Paul S. [MD] (introduced 5/13/1998)      Cosponsors (2)
Latest Major Action: 5/13/1998 Motion to table SP 2395 agreed to in Senate by Yea-Nay Vote. 69-30. Record Vote No: 133.

3. S.AMDT.2396 to S.1260 To make amendments with respect to the definition of a class action, and for other purposes.
Sponsor: Sen Sarbanes, Paul S. [MD] (introduced 5/13/1998)      Cosponsors (2)
Latest Major Action: 5/13/1998 Motion to table SP 2396 agreed to in Senate by Yea-Nay Vote. 72-27. Record Vote No: 134.

4. S.AMDT.2397 to S.1260 To preserve the right of a State or a political subdivision thereof or a State pension plan from bringing actions under the securities laws.
Sponsor: Sen Sarbanes, Paul S. [MD] (introduced 5/13/1998)      Cosponsors (3)
Latest Major Action: 5/13/1998 Senate amendment agreed to. Status: Amendment SP 2397 agreed to in Senate by Voice Vote.

5. S.AMDT.2398 to S.1260 To amend the bill with respect to title 18, United States Code.
Sponsor: Sen Biden, Joseph R., Jr. [DE] (introduced 5/13/1998)      Cosponsors (None)
Latest Major Action: 5/13/1998 Proposed amendment SP 2398 withdrawn in Senate.