On December 4, 2025, the First Department issued a decision in Brigade Calvary Fund Ltd v. Chirico, 2025 NY Slip Op. 06784, staying a securities action pending a federal court’s decision on whether to impose a SLUSA stay, explaining:
The court presiding over the federal action should first address whether discovery in this action should be stayed pursuant to the Securities Litigation Uniform Standards Act of 1998 (15 USC § 78u-4[b][3][D]) or on another basis. We defer to the federal court, and abstain from otherwise addressing defendant’s substantive challenges to the motion court’s discretionary decision not to continue the stay of discovery subsequent to its decision on defendant’s motion to dismiss, including whether the state and federal actions share a substantial identity and whether allowing discovery in this action prior to a resolution of the motions to dismiss in the federal action would cause undue prejudice to the plaintiffs in that action.