Novell Shareholders Leave Backdating Suit To Board

Law360, New York (July 15, 2009, 12:00 AM EDT) -- A group of shareholders has decided to back away from the derivative litigation it initiated against Novell Inc. in the wake of a 2006 backdating scandal, offering the technology company's board the chance to commence litigation instead.

On Tuesday, plaintiffs Steven Kimmel, Samuel Coor, James Ellis, Andreas Furrer and Sheila Simon sought to withdraw without prejudice all claims against the company’s senior executives and board of directors.

The plaintiffs, whose suits were consolidated in January 2007, alleged that the Novell powers-that-be allowed senior insiders at the...
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