SEC Fraud Case Against MedQuist Ex-CFO Trimmed

Law360, New York (February 24, 2010, 5:07 PM EST) -- A federal judge has clipped the U.S.' fraud suit against a former MedQuist Inc. chief financial officer, saying statements he made about the medical transcription company's financial health at investor meetings constitute “inactionable puffery” that no reasonable person would have relied on.

Judge Jerome B. Simandle of the U.S. District Court for the District of New Jersey on Tuesday granted part of ex-CFO Brian Kearns' motion to dismiss the fraud suit brought by the U.S. Securities and Exchange Commission.

The SEC has alleged that Kearns aided...
To view the full article, register now.