Class Action

  • November 7, 2005

    SEC Actions Up Again For '05, Private Suits Way Down

    Empowered by Capitol Hill and flush with cash, the Securities and Exchange Commission is continuing to widen its campaign against corporate fraud, with the latest numbers for 2005 showing the agency will again beat its record from the previous year. The trend is offset by a dramatic decrease in filings of private securities fraud lawsuits, which typically complement SEC investigations.

  • November 7, 2005

    Dana, Mired In Legal Trouble, Fails To Restate Earnings

    Auto parts maker Dana Corporation said it would not restate its earnings for the past two years in its third-quarter report, an announcement that is likely to prompt several more class action lawsuits against the troubled company.

  • November 7, 2005

    Authorized Generics Deal Cleared Of Antitrust Charges

    An appeals court has upheld a lower court decision that cleared two major drug makers of antitrust charges in a decision that once again spotlights the debate over authorized generics.

  • November 4, 2005

    Suit Alleges Manipulation By Execs In Puerto Rican Bank Scandal

    After a Securities and Exchange Commission investigation into three major Puerto Rican mortgage companies revealed massive accounting fraud and caused the resignation of several top executives, investors have begun filing class action suits against the embattled companies.

  • November 4, 2005

    Investors Sue Military Contractor Over Bullet-Proof Vests

    Body armor maker DHB Industries Inc. failed to inform investors that one of its key products, a bullet proof vest, would soon lose the safety certification it needed to be sold to police officers, according to a class action securities fraud lawsuit.

  • November 2, 2005

    Stonepath Investors Dealt 2nd Blow As Court Tosses Suit

    A federal judge has dismissed a class action suit alleging securities fraud filed by shareholders of logistics company Stonepath Group, making it the second suit against the company dismissed in the past two months.

  • November 2, 2005

    Qwest To Pay $400M To Settle Class Action Over Fraud

    With a $400 million settlement offer, Qwest Communications International Inc. Tuesday moved toward resolving a slew of investor class action lawsuits over alleged securities fraud that led to the company’s restatement of billions of dollars in revenue in 2002.

  • October 28, 2005

    Lerach Accused Of Distorting Settlement Figures

    Just one day after winning $651 million in a class action suit, William Lerach of Lerach Coughlin Stoia Geller Rudman & Robbins LLP has been accused of distorting the settlement to “make himself look better,” according to a press release from the New York State Common Retirement Fund.

  • October 27, 2005

    Yukos Sued By U.S. Investors Over Suspected Nationalization

    Investors in scandal-ridden Yukos Oil Company are taking the offensive against the Russian Federation, accusing the country and its leaders of trying to renationalize the firm without compensation.

  • November 4, 2005

    Class Actions Help Big Fish, Not Little Guy: Report

    It’s time to look at the unintended consequences of booming securities class action damages, the U.S. Chamber of Commerce research institute says in a report that claims the economy is suffering under the whip of over-eager plaintiff firms.

  • October 27, 2005

    WorldCom Investors Win $651 Million Settlement

    WorldCom investors will receive $651 million in a settlement reached in a consolidated class-action suit against the company. Most of the money will be paid by underwriters of the former telecommunications giant.

  • October 26, 2005

    Once Profitable Krispy Kreme Faces Fraud Accusations, Financial Worries

    Krispy Kreme Doughnuts, a company mired in financial trouble and an increasing number of lawsuits, has filed a motion to dismiss a class-action lawsuit alleging the company made false statements about projected earnings just before the stock collapsed.

  • October 24, 2005

    Hutchinson Technology In Class Action Over False Statements

    Computer hard drive maker Hutchinson Technology and its top executives have been accused of misleading investors by inflating demand for key products and using insider knowledge to sell stock prior to earnings warnings.

  • October 24, 2005

    Pixar In Class Action Over "The Incredibles" DVD-Release

    Computer-animated movie maker Pixar Studios has been accused in a class action lawsuit of promising unrealistic DVD sales, and allowing executives to reap more than $27 million in insider trading prior to announcing poor results for ‘The Incredibles’.

  • October 20, 2005

    Avon Execs Under Fire For Concealing Information

    In a recently filed class action suit, Avon Products Inc. employees allege that CEO Andrea Jung encouraged them to invest in Avon stock while selling her shares in the company, netting her millions but causing the employees to lose a “significant portion” of retirement investments.

  • October 12, 2005

    Investors Sue Andrx Amid FDA Skirmish

    Investors took legal action against drug maker Andrx Corp. Tuesday, accusing the pharmaceutical company of violating federal securities laws and misrepresenting the approval status of new drug applications with the U.S. Food and Drug Administration.

  • October 17, 2005

    Barrier Therapeutics Misled Over Clinical Studies, Suit Says

    Barrier Therapeutics Inc. misled investors about the success of its clinical-stage biopharmaceuticals, according to a complaint filed by investors in federal court Friday.

  • October 19, 2005

    EASDAQ Investors File Suit Against Lernout & Hauspie

    Shareholders of the now-bankrupt Lernout & Hauspie Speech Products N.V. have filed a class-action lawsuit alleging the company’s executives engaged in massive accounting fraud that led to its eventual downfall.

  • October 19, 2005

    Pension Funds Win $78.9 M In WorldCom Suit

    Five New York pension funds that sued WorldCom Inc. after the company’s collapse have reached a $78.9 million settlement with the fallen telecommunications company.

  • October 19, 2005

    Bristol-Meyers Squibb In Class Action Over $2B Fraud

    Drug maker Bristol-Meyers Squibb misled investors in a multi-billion dollar scheme to exaggerate demand its most popular products, according to a complaint filed Wednesday in federal court.