Quest Shareholders Drop Backdating Suit For $29M

Law360, New York (November 20, 2009, 1:10 PM EST) -- After more than three years of litigation and failed mediation efforts, Quest Software Inc. has agreed to pay a class of investors $29.4 million to settle allegations that the company’s stock options backdating artificially inflated stock prices.

On Thursday, the lead plaintiff asked Judge David O. Carter of the U.S. District Court for the Central District of California to preliminarily approve the settlement and put to rest claims that Quest concealed backdated stock option grants and issued overblown financial reports.

The proposed settlement provides almost $30...
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