Supreme Court Wary of Broad Ruling in Slack Shareholder Case (1)

The US Supreme Court hinted at a narrow ruling in a case involving Salesforce Inc.’s Slack unit as the court considered restricting shareholder suits over company statements issued as part of a direct listing.

Two potentially pivotal justices, Brett Kavanaugh and Neil Gorsuch, voiced interest in kicking part of the case back to a federal appeals court rather than issuing a definitive ruling.

The case marks the Supreme Court’s first look at a direct listing since the Securities and Exchange Commission authorized the practice in 2018. In a direct listing, companies go public without selling shares through an ...