Roberto Cohen v. Usdc-Casj ( 2009 )


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  •                   FOR PUBLICATION
    UNITED STATES COURT OF APPEALS
    FOR THE NINTH CIRCUIT
    IN RE ROBERTO COHEN,                   
    Petitioner,
    v.
    UNITED STATES DISTRICT COURT FOR
    THE NORTHERN DISTRICT OF
    CALIFORNIA,
    Respondent,
    LISA MILLER, NEW JERSEY                    No. 09-70378
    CARPENTERS PENSION AND ANNUITY
    FUND, DOUGLAS DEPIES, PATRICK D.            D.C. No.
    08-CV-04260
    JERMYN, ALEXANDER POLITZER,                 OPINION
    HARMIK KAZANCHIAN, IBEW LOCAL
    640/ARIZONA CHAPTER NECA
    PENSION TRUST FUND, THE FRANKS
    GROUP, CITY OF PONTIAC GENERAL
    EMPLOYEES RETIREMENT SYSTEM,
    NVIDIA CORP., JEN-HSUN HUANG
    and MARVIN D. BURKETT.
    Real Parties in Interest.
    
    On Petition for Writ of Mandamus to the
    United States District Court for the
    Northern District of California.
    D.C. No. 08-CV-04260.
    James Ware, District Judge, Presiding
    Argued and Submitted
    September 1, 2009—San Francisco, California
    Filed November 5, 2009
    14909
    14910         COHEN v. UNITED STATES DISTRICT COURT
    Before: Betty B. Fletcher and Andrew J. Kleinfeld, Circuit
    Judges, and Kevin T. Duffy,* District Judge.
    Opinion by Judge B. Fletcher
    *The Honorable Kevin T. Duffy, Senior United States District Judge for
    the Southern District of New York, sitting by designation.
    14912     COHEN v. UNITED STATES DISTRICT COURT
    COUNSEL
    Michael F. Ram, Levy, Ram & Ollson LLP, San Francisco,
    California and Kim E. Miller, Kahn Gauthier Swick, LLC,
    New York, New York, for the petitioner.
    COHEN v. UNITED STATES DISTRICT COURT          14913
    Jonathan K. Levine and Aaron M. Sheanin, Girard Gibbs
    LLP, San Francisco, California, and Ralph Stone and Thomas
    G. Ciarlone, Jr., Shalov Stone Bonner & Rocco LLP, New
    York, New York, for Real Parties in Interest Lisa Miller and
    the Depies Group.
    OPINION
    B.   FLETCHER, Circuit Judge:
    Petitioner Roberto Cohen petitions for a writ of mandamus
    vacating the district court’s December 23, 2008, order to the
    extent that it appointed Girard Gibbs LLP as co-lead counsel
    and requiring the district court to appoint Kahn Gauthier
    Swick, LCC, as co-lead counsel. We grant the petition for a
    writ of mandamus in part and order the district court to vacate
    its order appointing Girard Gibbs LLP as co-lead counsel.
    FACTS AND PROCEDURAL BACKGROUND
    This case presents the issue of whether the district court has
    authority to select lead counsel under the Private Securities
    Litigation Reform Act of 1995 (“PSLRA”), 15 U.S.C. § 78u-
    4.
    The underlying litigation is a consolidated putative securi-
    ties fraud class action brought by investors who purchased
    NVIDIA Corporation securities between November 8, 2007
    and July 2, 2008. In September of 2008, Lisa Miller filed the
    first putative securities fraud class action against NVIDIA,
    which the district court consolidated with two other actions.
    The Complaint alleges, among other things, that NVIDIA
    fraudulently concealed from investors the use of flawed mate-
    rials and processes in producing certain products, and that the
    stock price substantially declined following the disclosure of
    these facts.
    14914       COHEN v. UNITED STATES DISTRICT COURT
    Following consolidation, seven purported class members or
    groups of class members filed motions to be appointed lead
    plaintiff and for approval of their choice of lead counsel.
    Among these were Roberto Cohen, who selected Kahn Gau-
    thier Swick, LLC (“KGS”) as his choice for lead counsel;
    New Jersey Carpenters Pension and Annuity Funds (“New
    Jersey Carpenters”), which selected Milberg LLP as its choice
    for lead counsel; and a group consisting of Douglas Depies,
    Jerrold Engber, Geoffrey James, Chester Chow, and
    Kumaraswamy Krishnamurthy (collectively the “Depies
    Group”) which selected Girard Gibbs LLP (“Girard Gibbs”)
    and Shalov Stone Bonner & Rocco LLP as their choice for
    co-lead counsel.
    The district court, in an order dated December 23, 2008,
    (“December Order”) appointed lead plaintiff and lead counsel.
    The PSLRA creates a rebuttable presumption that the most
    adequate plaintiff—whom the court must appoint as the lead
    plaintiff—is the person or group that meets the following
    three requirements: “(a) has either filed the complaint or made
    a motion in response to the published notice; (b) in the deter-
    mination of the court, has the largest financial interest in the
    relief sought by the class; and (c) otherwise satisfies the
    requirements of Rule 23 of the Federal Rules of Civil Proce-
    dure.” 15 U.S.C. § 78u-4(a)(3)(B)(iii)(I). The PSLRA further
    provides that the lead plaintiff “shall, subject to the approval
    of the court, select and retain counsel to represent the class.”
    
    Id. § 78u-4(a)(3)(B)(v).
    After applying two separate methods
    to determine the plaintiff with the largest financial stake in the
    litigation, the court appointed Cohen and New Jersey Carpen-
    ters as co-lead plaintiffs. The district court appointed Milberg
    LLP and Girard Gibbs as co-lead counsel, finding “[u]pon
    review of each firm’s resume, . . . [and] given each firm’s
    experience with similar actions,” these firms were “the most
    qualified counsel for this case.”
    On January 8, 2009, Cohen requested leave to file a motion
    for reconsideration of the court’s December Order or, in the
    COHEN v. UNITED STATES DISTRICT COURT          14915
    alternative, application for an order certifying interlocutory
    appeal pursuant to 28 U.S.C. § 1292(b). Cohen argued that the
    district court’s appointment of Girard Gibbs, the Depies
    Group’s choice for lead counsel, was contrary to the PSLRA
    and In re Cavanaugh, 
    306 F.3d 726
    (9th Cir. 2002), because
    it denied him his right, as lead plaintiff, to select counsel for
    the class. The Depies Group also submitted a motion for leave
    to file a motion for reconsideration and/or clarification of the
    December Order in which they argued 1) the district court
    should deny Cohen’s motion and 2) if the district court autho-
    rized Cohen’s motion for reconsideration it should authorize
    the Depies Group to challenge the appointment of lead plain-
    tiff. In an order dated January 23, 2009 (“January Order”), the
    district court denied these motions. The district court found
    that “In re Cavanaugh does not specify the terms on which a
    court may refuse to approve a lead plaintiff’s selection of
    counsel” and that “[u]nder the express language of the
    PSLRA, the Court has the discretion not to appoint a lead
    plaintiff’s choice of counsel.”
    Cohen filed a petition for writ of mandamus seeking to
    vacate the December Order to the extent it appointed Girard
    Gibbs as co-lead counsel and to compel the district court to
    appoint KGS. The Real Parties in Interest Lisa Miller and the
    Depies Group filed a response opposing the petition and argu-
    ing that if the petition is granted the proper remedy is to
    remand to the district court with instructions to appoint the
    Depies Group as lead plaintiff.
    DISCUSSION
    I.   Cohen’s Petition for Writ of Mandamus
    We have authority to issue a writ of mandamus under the
    “All Writs Act,” 28 U.S.C. § 1651. However, “the remedy of
    mandamus is a drastic one . . . [and] only exceptional circum-
    stances amounting to a judicial ‘usurpation of power’ will jus-
    tify invocation of this extraordinary remedy.” Bauman v. U.S.
    14916       COHEN v. UNITED STATES DISTRICT COURT
    Dist. Court, 
    557 F.2d 650
    , 654 (9th Cir. 1977) (quoting Kerr
    v. U.S. Dist. Court, 
    426 U.S. 394
    , 402 (1976)). Although we
    determine de novo whether the writ should issue, we must be
    firmly convinced that the district court has erred. Valenzuela-
    Gonzalez v. U.S. Dist. Court, 
    915 F.2d 1276
    , 1279 (9th Cir.
    1990).
    [1] We decide whether to issue the writ under the factors
    laid out in Bauman, analyzing whether (1) the party seeking
    the writ has no other adequate means, such as direct appeal,
    to attain the relief he or she desires; (2) the petitioner will be
    damaged or prejudiced in a way not correctable on appeal; (3)
    the district court’s order is clearly erroneous as a matter of
    law; (4) the district court’s error is an oft-repeated error, or
    manifests a persistent disregard of the federal rules; and (5)
    the district court’s order raises new and important problems,
    or issues of law of the first impression. 
    Bauman, 557 F.2d at 654-55
    . No single Bauman factor is determinative in every
    case nor must all five factors be present to grant the writ.
    
    Valenzuela-Gonzalez, 915 F.2d at 1279
    .
    A.    The Bauman Factors
    [2] We will begin by analyzing the district court’s opinion
    for clear error, as this factor is “highly significant” and failure
    to show clear error may be dispositive of the petition. Cole v.
    U.S. Dist. Court, 
    366 F.3d 813
    , 820 (9th Cir. 2004); Z-Seven
    Fund, Inc. v. Motorcar Parts & Accessories, 
    231 F.3d 1215
    ,
    1219-1220 (9th Cir. 2000). The clear error standard is signifi-
    cantly deferential and is not met unless the reviewing court is
    left with a “definite and firm conviction that a mistake has
    been committed.” Concrete Pipe & Prods. v. Constr. Labor-
    ers Pension Trust, 
    508 U.S. 602
    , 623 (1993); see also De-
    George v. U.S. Dist. Court, 
    219 F.3d 930
    , 936 (9th Cir. 2000)
    (applying this standard of review to a district court’s statutory
    interpretation).
    COHEN v. UNITED STATES DISTRICT COURT                 14917
    [3] The Depies Group argues that the district court acted
    within its discretion because the PSLRA leaves the lead plain-
    tiff’s selection of counsel subject to the approval of the dis-
    trict court. They contend that the district court disapproved
    Cohen’s selection of KGS and, because of that disapproval,
    and because the PSLRA does not explicitly provide proce-
    dures for the district court to follow after disapproving the
    lead plaintiff’s choice of counsel, the district court acted
    within its authority by itself selecting class counsel. The dis-
    trict court appears to have relied on a similar justification for
    its decision in its January Order.1 This argument is untenable.
    Although it cannot be contested that the district court had the
    authority to reject Cohen’s choice of lead counsel, it does not
    follow that having done so it had the authority to select lead
    counsel of its own choosing. This argument misses the funda-
    mental point that the PSLRA unambiguously assigns this
    authority to the lead plaintiff.
    [4] When a statute speaks with clarity to an issue, courts
    must apply the clear meaning of the statute. Estate of Cowart
    v. Nicklos Drilling Co., 
    505 U.S. 469
    , 476 (1992). We have
    already explained that the PSLRA’s provisions on selection of
    lead plaintiff and lead counsel, although containing many
    requirements, are “neither overly complex nor ambiguous.”
    
    Cavanaugh, 306 F.3d at 729
    . Here we address only the
    PSLRA’s mandate that “[t]he most adequate plaintiff shall,
    subject to the approval of the court, select and retain counsel
    to represent the class.” 15 U.S.C. § 78u-4(a)(3)(B)(v). This
    provision clearly identifies the most adequate plaintiff as the
    actor that “select[s] and retain[s]” class counsel. Although this
    power is subject to court approval and is therefore not abso-
    lute, it plainly belongs to the lead plaintiff. See id.; see also
    In re Cendant Corp. Litig., 
    264 F.3d 201
    , 273, 277 (3d Cir.
    2001) (holding that the PSLRA is clear that “the power to
    1
    The rationale for the district court’s decision is not entirely clear
    because, as explained below, the district court appears to have articulated
    a different explanation for appointing Girard Gibbs in its December Order.
    14918         COHEN v. UNITED STATES DISTRICT COURT
    ‘select and retain’ lead counsel belongs . . . to the lead plain-
    tiff, and the court’s role is confined to deciding whether to
    ‘approve’ that choice” and that should the court disagree with
    the lead plaintiff’s choice “it should clearly state why . . . and
    should direct the lead plaintiff to undertake an acceptable
    selection process”).2 The statute expressly provides that lead
    plaintiff has the power to select lead counsel, suggesting that
    the identity of the party selecting lead counsel was of substan-
    tial importance to Congress. See 15 U.S.C. § 78u-4(a)(3); In
    re BankAmerica Corp. Secs. Litig., 
    350 F.3d 747
    , 751 (8th
    Cir. 2003); 
    Cendant, 264 F.3d at 273
    . Nor does the statute,
    framed in mandatory language, designate any other actor as
    authorized to select lead counsel or suggest that the district
    court may appropriate this authority. It would be difficult for
    the statute to be more clear that it is the lead plaintiff who
    selects lead counsel, not the district court.
    The clause subjecting the lead plaintiff’s selection of coun-
    sel “to the approval of the district court” in no way suggests
    that a district court shares in the lead plaintiff’s authority to
    select lead counsel or that disapproval of a lead plaintiff’s
    choice divests the lead plaintiff of this authority. The ordinary
    reading of this clause merely gives the district court the lim-
    ited power to accept or reject the lead plaintiff’s selection.
    Given that the PSLRA indisputably assigns to the lead plain-
    tiff the power to select lead counsel, it would be incongruous
    to conclude that this power shifts to the district court follow-
    ing disapproval of a lead plaintiff’s selection of lead counsel.
    Instead, the opposite conclusion is compelled. The logical
    2
    Cendant also said that a district court may have limited authority to
    conduct an “auction” to appoint lead counsel in the rare case that the lead
    plaintiff has selected inadequate counsel, is unable or unwilling to select
    adequate counsel, and no other suitable party exists to replace that lead
    plaintiff if disqualified. See 
    Cendant, 264 F.3d at 277
    . In such a situation,
    a district court may need to take a more active role in the selection of lead
    counsel, although it is unclear exactly from whence this authority would
    derive in the statutory text. Regardless, we do not confront such facts in
    the current case.
    COHEN v. UNITED STATES DISTRICT COURT          14919
    interpretation of the statute’s failure to provide an intricate
    procedure for the district court to follow after rejecting the
    lead plaintiff’s selection is that the power to select lead coun-
    sel remains in the hands of the lead plaintiff. Any other result
    would allow the district court in all cases to reject lead coun-
    sel and then proceed to appoint its own choice.
    The Depies Group’s contention that the district court’s
    decision was not clear error because no Ninth Circuit prece-
    dent squarely addresses this issue is easily disposed of. Even
    were we to agree with the Depies Group that Cavanaugh does
    not speak to the district court’s authority to select lead counsel
    —at best a dubious proposition given that case’s forceful
    rejections of district court authority to select lead counsel—
    the plain text of the statute prohibits the course taken by the
    district court. See United States v. W. R. Grace, 
    504 F.3d 745
    ,
    757-58 (9th Cir. 2007) (finding clear error based on plain text
    of statute); 
    DeGeorge, 219 F.3d at 936
    ; see also 
    Cavanaugh, 306 F.3d at 740-41
    (Wallace, J., concurring).
    Although the issue before Cavanaugh was appointment of
    lead plaintiff, Cavanaugh repeatedly states that the district
    court lacks authority to select lead counsel. 
    See 306 F.3d at 732-34
    . In addition, that decision certainly strongly implies
    that after disapproving a lead plaintiff’s choice of counsel, the
    district court is not free to appoint counsel of its own choos-
    ing. See 
    id. at 733
    n.12 (explaining that the court should “ask
    [the plaintiff] whether he would be willing to serve as lead,
    even if the court were to disapprove his choice of counsel and
    he were forced to seek the services of another attorney”)
    (emphasis added). We should not discount these statements
    simply because the precise issue in Cavanaugh was the selec-
    tion of the lead plaintiff, not lead counsel. Much of Cava-
    naugh’s reasoning is directly premised on the PSLRA’s
    mandate that the lead plaintiff, not the district court, selects
    lead counsel. See, e.g., 
    id. at 734
    (“Finally, allowing the dis-
    trict court to select the lead plaintiff based on its view of who
    has negotiated the most favorable fee schedule improperly
    14920          COHEN v. UNITED STATES DISTRICT COURT
    interferes with the lead plaintiff’s authority and responsibility
    to select counsel.”). A contrary holding here would not only
    fly in the face of the plain text of the statute, it would disre-
    gard much of Cavanaugh.
    [5] The district court’s decision to appoint Girard Gibbs
    was clearly erroneous. This error was a usurpation of power,
    pointing in favor of the issuance of the writ.
    [6] We have little difficulty determining that the remaining
    Bauman factors are also met. With respect to the first and sec-
    ond factors, which are closely related, United States v. Har-
    per, 
    729 F.2d 1216
    , 1222 (9th Cir. 1984), a lost choice of
    counsel cannot be adequately remedied through means other
    than mandamus and the resultant harm is not correctable on
    appeal. See 
    Cole, 366 F.3d at 817
    , 820 (finding that the first
    factor is “affirmatively presented in the context of a disquali-
    fication of counsel” because it impairs the parties’ right to
    counsel of their choice and this harm also satisfies the second
    factor); Christensen v. U.S. Dist. Court, 
    844 F.2d 694
    , 697
    (9th Cir. 1988); see also Richardson-Merrell, Inc. v. Koller,
    
    472 U.S. 424
    , 438 (1985) (noting that orders disqualifying
    counsel in civil cases are not collateral orders subject to
    immediate appeal). Indeed, the deprivation of the right to
    select lead counsel was precisely the harm identified in Cava-
    naugh.3 
    See 306 F.3d at 740
    (Wallace, J., concurring); see
    also 
    id. at 734
    . The fourth and fifth Bauman factors are also
    met. See 
    Valenzuela-Gonzalez, 915 F.2d at 1279
    (“Mandamus
    is particularly appropriate when we are called upon to deter-
    3
    The Depies Group argues that Cohen has suffered no harm because
    KGS still personally represents him and no attorney client relationship
    with Girard Gibbs has been foisted on him given that Girard Gibb’s role
    as lead counsel is to represent the class as a whole. These arguments are
    beside the point: as lead plaintiff, Cohen has the statutory right to select
    class counsel, not merely to hire counsel to separately monitor the litiga-
    tion. Moreover, Cohen’s lack of relationship with Girard Gibbs does not
    mitigate the harm the district court’s order causes him; rather, it illustrates
    that harm.
    COHEN v. UNITED STATES DISTRICT COURT                  14921
    mine the construction of a federal procedural rule in a new
    context. Such a situation presents the rare case where both the
    fourth and fifth Bauman factors are satisfied: we are presented
    with a novel question of law that is simultaneously likely to
    be ‘oft-repeated.’ ” (citations omitted)). The application of the
    PSLRA, particularly the district court’s authority to select
    lead counsel, will be raised in future cases, and has previously
    been implicated by district court opinions holding that the
    court has authority to conduct “auctions” for lead counsel.
    See, e.g., In re Quintus Secs. Litig., 
    201 F.R.D. 475
    , 486
    (N.D. Cal 2001); see also 
    Cendant, 264 F.3d at 258
    n.35 (not-
    ing that the court had found eight securities litigation cases
    governed by the PSLRA employing auctions).
    B.    Appointing Lead Counsel
    [7] Cohen requests that we remand to the district court with
    instructions to appoint KGS as lead counsel. He suggests that
    because the district court considered his choice of counsel in
    deciding to select him co-lead plaintiff and found that KGS
    was free from conflict and would vigorously prosecute the
    action, this ends the district court’s inquiry into the adequacy
    of counsel.4 We think that would go too far. The court con-
    cluded that Cohen should be lead plaintiff, but acted under the
    misapprehension that it was the district court’s role and not
    the lead plaintiff’s role to choose lead counsel. Now that our
    4
    Although none of the parties raise the issue, the district court may have
    erred in appointing “co-lead plaintiffs,” a practice occasionally employed
    by district courts. See, e.g., Yousefi v. Lockheed Martin Corp., 
    70 F. Supp. 2d
    1061, 1070 (C.D. Cal. 1999) (appointing an individual and city as lead
    plaintiffs); In re Oxford Health Plans, Inc. Sec. Litig., 
    182 F.R.D. 42
    , 47
    (S.D.N.Y. 1998) (appointing three co-lead plaintiffs). While the PSLRA
    allows a group to serve as lead plaintiff, it also consistently refers to the
    lead plaintiff and most adequate plaintiff in the singular, suggesting that
    the district court should appoint only one lead plaintiff, whether an indi-
    vidual or a group. See 15 U.S.C. § 78u-4(a)(3); see also 
    Cendant, 264 F.3d at 223
    n.3. The appointment of multiple lead plaintiffs would also tend to
    run counter to the sequential inquiry we outlined for selection of lead
    plaintiff. See 
    Cavanaugh, 306 F.3d at 730-31
    .
    14922       COHEN v. UNITED STATES DISTRICT COURT
    mandate will assure that Cohen chooses lead counsel, it is for
    the district court to approve or disapprove Cohen’s choice of
    lead counsel subject to appropriate criteria.
    [8] Consistent with congressional intent in enacting the
    PSLRA to vest authority for selecting class counsel in the lead
    plaintiff and our reasoning in Cavanaugh, the district court
    should not reject a lead plaintiff’s proposed counsel merely
    because it would have chosen differently. 
    See 306 F.3d at 732
    , 734 & n.14 (explaining that selection of lead counsel “is
    not a beauty contest,” that selection of counsel is an “impor-
    tant client prerogative,” and that a contrary rule would “evis-
    cerate” the PSLRA’s assumption that the lead plaintiff is as
    or more capable than the court to select class counsel) (quot-
    ing 
    Cendant, 264 F.3d at 276
    ). Rather, like the Third Circuit,
    we hold that if the lead plaintiff has made a reasonable choice
    of counsel, the district court should generally defer to that
    choice. See 
    Cendant, 264 F.3d at 276
    (enumerating factors to
    consider in conducting this inquiry, including the lead plain-
    tiff’s sophistication and experience, the process through
    which the lead plaintiff selected its candidates for and final
    choice of lead counsel, the qualifications and experience of
    selected counsel, and evidence of arms-length negotiations
    between lead plaintiff and proposed counsel); see also H.R.
    Conf. Rep. No. 104-369 (1995), reprinted in 1995
    U.S.C.C.A.N. 730, 734 (suggesting that the district court’s
    authority to disapprove lead counsel should be exercised
    when necessary to protect the interests of the class). In the
    event that the district court determines the lead plaintiff has
    not made a reasonable choice of counsel, the court should
    articulate its reasons for disapproving plaintiff’s choice and
    provide an opportunity for lead plaintiff to select acceptable
    counsel. See 
    Cendant, 264 F.3d at 277
    ; cf. 
    Cavanaugh, 306 F.3d at 733
    n.12.
    The district court issued conflicting rationales for its deci-
    sion to appoint Girard Gibbs co-lead counsel, leaving it
    unclear whether the court was disapproving Cohen’s choice of
    COHEN v. UNITED STATES DISTRICT COURT                14923
    KGS as inadequate or whether it merely found Girard Gibbs
    to be a better choice. Compare December Order (explaining
    that the district court had “review[ed] each firm’s resume”
    and decided Girard Gibbs was “the most qualified counsel”
    without any discussion of whether Cohen’s choice was inade-
    quate) with January Order (suggesting the district court disap-
    proved of Cohen’s choice of lead counsel). Regardless, even
    if the district court rejected KGS, it is not clear why it did so
    or whether the court applied appropriate deference to Cohen’s
    choice. Rather than attempting to evaluate Cohen’s choice of
    KGS on the limited record before us, we remand to the district
    court to consider, using appropriate deference, whether KGS
    was an unreasonable choice of lead counsel under the circum-
    stances.
    II.   The Depies Group’s Requested “Remedy”
    [9] Having determined that the district court’s decision to
    appoint Girard Gibbs was clear error justifying a writ of man-
    damus, we are confronted with the Depies Group’s assertion
    that the proper remedy is to remand to the district court with
    instructions to reassess the appointment of lead plaintiff. We
    decline to consider the merits of whether the district court
    erred in refusing to appoint the Depies Group as lead plaintiff
    because it is outside the scope of the mandamus petition.
    In its response to Cohen’s petition for mandamus, the
    Depies Group raises the argument that the district court erred
    in appointing lead plaintiff. Cohen’s petition in no way chal-
    lenged the appointment of lead plaintiff. The Depies Group
    cite no authority that they may permissibly raise such an
    entirely distinct issue5 in their response to Cohen’s petition
    5
    The Depies Group’s assertion at oral argument that these issues are
    related because the district court may have “co-joined” the selection of
    Cohen as lead plaintiff with the selection of Girard Gibbs as lead counsel
    is entirely speculative and unsupported by the record. Regardless, even
    were this the case it would not excuse the Depies Group’s failure to prop-
    erly assert its challenge to Cohen’s appointment as lead plaintiff.
    14924       COHEN v. UNITED STATES DISTRICT COURT
    and we are aware of none that so hold. See Fed R. App. Proc.
    21; cf. In re Buskin Assoc., Inc., 
    864 F.2d 241
    , 247-48 (1st
    Cir. 1989) (explaining that mandamus neither contemplates
    nor permits the filing of counterclaims). They also make no
    attempt to satisfy the Bauman factors or demonstrate that they
    are entitled to a writ of mandamus, despite our precedent that
    mandamus is the proper vehicle to challenge the appointment
    of lead plaintiff at this stage in the litigation absent certifica-
    tion of an interlocutory appeal. See 
    Cavanaugh, 306 F.3d at 730
    , 739; 
    Z-Seven, 231 F.3d at 1218-20
    . Rather, it appears
    that the Depies Group, by couching its arguments in terms of
    a “remedy,” attempts to avoid the need to file a petition and
    the strict requirements for a writ of mandamus, and invites
    this court to disregard the same. We decline the invitation. Cf.
    
    DeGeorge, 219 F.3d at 935
    (explaining that the strict rules
    governing mandamus prevent parties from “eviscerat[ing] the
    statutory scheme established by Congress to strictly circum-
    scribe piecemeal appeal”) (quotation omitted); In re 
    Bushkin, 864 F.2d at 247-48
    .
    CONCLUSION
    [10] Cohen’s petition for writ of mandamus is granted to
    the extent it seeks to vacate the district court’s order appoint-
    ing Girard Gibbs. We remand to the district court to accept or
    reject Cohen’s selection of KGS, applying the applicable stan-
    dard.
    WRIT GRANTED IN PART.