Supreme Court to Hear US Securities and Exchange Commission Disgorgement Case

The Supreme Court has granted writs of certiorari to a number of cases involving challenges to the authority of the U.S. Securities and Exchange Commission (Commission) over the last several years. Continuing the trend, on November 1, 2019, the Court announced that it would hear the case titled Charles C. Liu et al. v. U.S. Securities and Exchange Commission during the 2019-2020 term. Based on the Kokesh v. Securities and Exchange Commission decision in 2017, the industry anticipated that the Court would grant certiorari to a case like Liu, which challenges the authority of the Commission to seek disgorgement in federal court under the federal securities laws.