Groupon Must Face Shareholder Suit Over Stock Drop

Law360, New York (September 20, 2013, 3:52 PM EDT) -- An Illinois federal judge on Thursday refused to set Groupon Inc. free from consolidated shareholder litigation over a high-profile accounting error that sent the company's stock prices plummeting, saying investors had presented enough evidence to send the case into discovery.

U.S. District Judge Charles R. Norgle rejected two motions to dismiss filed by Groupon and the underwriters of the online coupon company's 2011 initial public offering, which shareholders allege was set at an artificially high price because of the accounting error. Norgle said Groupon and the...
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