RIM Overhyped Sales Of Too-Ripe BlackBerrys: Suit

Law360, New York (June 14, 2011, 1:56 PM EDT) -- An investor who saw Research In Motion Ltd. shares drop 40 percent since December launched a class action in New York on Monday accusing the smartphone maker of touting "record" sales while its BlackBerrys were actually languishing in the competitive marketplace.

Plaintiff Gerald Chatlin's suit in federal court says the company and its co-CEOs, James L. Balsillie and Michael Lazaridis, violated federal securities laws and seeks damages for investors who bought RIM stock between Dec. 16 and April 28.

"During the class period, defendants issued materially...
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