APPEAL - MOTION TO DISMISS - ALTRUST FINANCIAL SERVICES, INC.
In Altrust Financial Services, Inc., [Ms. 1091610, Jul. 29, 2011] __ So. 3d __(Ala. 2011), the Supreme Court consolidated three appeals arising out of various claims of securities fraud and other torts. The circuit court granted a Rule 12(b)(6) motion to dismiss Plaintiffs' claims alleging securities fraud, aiding and abetting, and conspiracy, but denied the defendants' motions with regard to Plaintiffs' negligence claims. On appeal, the Supreme Court held that the circuit court did not err in dismissing the plaintiffs' securities fraud claim, but did err when it failed to dismiss all Plaintiffs' claims. Specifically, the Court held that the plaintiffs did not have standing to bring a direct action against the defendants.