American Bank v. City of Menasha

POSNER, Circuit Judge.

The Private Securities Litigation Reform Act of 1995 provides, with an immaterial exception, that “all discovery and other proceedings shall be stayed during the pendency of any motion to dismiss” a suit governed by the Act. 15 U.S.C. § 78u-4(b)(3)(B). The Securities Litigation Uniform Standards Act of 1998 (SLUSA) amended the Private Securities Litigation Reform Act (PSLRA) to authorize the district court to “stay discovery proceedings in any private action in a State court, as necessary in aid of its jurisdiction, or to protect or effectuate its judgments, in an action…