5th Circuit: District Court Wrong To Dismiss Stock Drop Suit With Prejudice

( February 3, 2026, 1:56 PM EST) -- NEW ORLEANS — A Fifth Circuit U.S. Court of Appeals panel held that a lower court was wrong to dismiss investors’ putative class action against a telecommunications corporation and certain of its executives for misleading investors about its failure to remedy old lead-sheathed telephone cables, finding that the lower court did not provide an analysis to support dismissing the complaint with prejudice....