Facebook Asks Judge To Toss Derivative Suits From IPO MDL

Law360, New York (December 12, 2012, 2:46 PM EST) -- Facebook Inc. on Wednesday asked a New York federal judge to dismiss four derivative actions stemming from the social media giant's ill-fated initial public offering in May, saying the plaintiffs lacked standing and did not own shares at the time of the IPO.

At oral argument before U.S. District Judge Robert W. Sweet, Facebook counsel Andrew B. Clubok said the derivative complaints over the IPO were direct securities fraud class actions "dressed up" as derivative complaints.

"The plaintiffs simply dressed up a securities case as a...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.