Judge Pulls Trigger On Smith & Wesson FCPA Derivative Suit

Law360, New York (July 26, 2012, 8:52 PM EDT) -- A Massachusetts federal judge on Wednesday shot down a derivative suit filed by two Smith & Wesson Holding Corp. shareholders over the company's allegedly ineffective Foreign Corrupt Practices Act controls, saying the action is precluded by a prior state court ruling. 

U.S. District Judge Michael Ponsor said that the disgruntled S&W shareholders should have brought their grievances to the company board of directors before filing a derivative action over its allegedly lax FCPA controls, citing a 2009 state judge who ruled the S&W board had sufficient...
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