Court Urges Posting Fraud Suit Data on Net

The U.S. District Court for Northern California proposed that major documents in securities fraud class-action lawsuits be posted on the Internet. The Northern District of California, which includes Silicon Valley, handles more securities fraud litigation than any other federal court in the nation. The Internet could create “a cheap and efficient means of providing class members in securities cases with details and timely information about litigation” and let judges quickly see “the latest arguments being made in courtrooms nationwide,” Judge Thelton Henderson said. Final details of the rule will be worked out after a public comment period. The proposed system is being demonstrated on an Internet site set up by Stanford University Law School.