Investment Company Institute

Rule Changes

Welcomed the ruling on behalf of the fund industry

For decades, investors could sue a mutual fund directly to undo contracts that broke federal fund law. On June 11, 2026, the Supreme Court closed that door. By a 6-3 vote, the justices ruled that ordinary investors have no right to sue under the Investment Company Act of 1940, the law that governs mutual funds and similar pooled investments.

Updated Yesterday