Question Certified to New York High Court in AIG Derivative Suit

WILMINGTON, Del. - The Delaware Supreme Court has certified to New York's highest court the question of whether under New York law the doctrine of in pari delicto bars a derivative claim where a corporation sues its outside auditor for negligence based on the auditor's failure to detect fraud committed by the corporation. Teachers' Retirement System of Louisiana v. PricewaterhouseCoopers LLP, No. 454, 2009 (Del. Sup. Ct.).

The question was certified in proceedings against American International Group Inc.'s outside auditor, PricewaterhouseCoopers, whom investors accuse of negligently failing to detect or report fraud perpetrated by AIG's senior officers.

Certain AIG stockholders …