The South Korean legislature continues to debate over legislation that would permit investors to bring securities class actions. The Korea Herald reports that South Korea’s major business lobbying groups have urged the government to “think twice” before implementing the change, which “could hamper business activities.”
The 10b-5 Daily has been following this story intently. South Korea is starting with a blank slate, with full knowledge of the pros and cons of the U.S. securities class action system. It will be interesting to see what the final legislation looks like.