HP Escapes Shareholder Suit Targeting Former CEO

Law360, Los Angeles (August 9, 2013, 10:46 PM EDT) -- A California federal judge denied a proposed class action against Hewlett Packard Co. over former CEO Mark Hurd's behavior in the lead-up to his high-profile exit from HP, ruling Friday that a pension fund failed to satisfy materiality requirements for a securities fraud claim.

The judge said that it was irrelevant whether Hurd knowingly violated HP's standards of business conduct when the company revised them after a 2006 scandal involving information leaks, because SBCs are "inactionable puffery."

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