Health Cos. To Pay $18M To End Stock-Drop Suit Over Spinoff

Law360 (July 21, 2020, 10:27 PM EDT) -- A certified class of shareholders asked a Tennessee federal judge Tuesday for preliminary approval of an $18 million settlement to end their stock-drop suit accusing hospital provider Community Health Systems Inc. and its spinoff Quorum Health Corp. of withholding financial expectations from investors.

The deal will cover those who bought Quorum common stock between May 2016 and August 2016, and represents between about 12.7% and 42.9% of estimated recoverable damages, which, according to the class, is an "objectively excellent" outcome when compared to other class action deals.

The shareholders have alleged that the stock they purchased was being traded at an...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.


  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!

TRY LAW360 FREE FOR SEVEN DAYS

Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Beta
Ask a question!