Securities

Exa Corporation Merger Agreement and Solicitation Statement Class Action

On September 27, 2017, Exa Corporation entered into an agreement specifying that Exa will be acquired by Dassault Systemes Simulia Corporation, with stockholders of Exa receiving $24.25 per share. On October 12, 2017, Exa filed a Solicitation/Recommendation Statement with the Securities and Exchange Commission (SEC) about the transaction. According to the complaint, both this document  Read more

Skechers Misleading Statements and Price Drop Securities Class Action

Skechers is a prominent footwear company which experienced rapid growth in 2013 and 2014. A dispute between dockworkers and shipping companies between June 2014 and February 2015 caused customers to shift their orders earlier, and the complaint for this class action alleges that the company knew it was giving investors a false picture in its  Read more

Rockwell Collins Merger S-4 Registration Statement Omissions Class Action

Rockwell Collins has entered into a merger agreement to be acquired by United Technologies Corporation (UTC), which would compensate stockholders with $93.33 in cash plus a portion of a share of UTC’s common stock. A Form S-4 Registration Statement was filed with the Securities and Exchange Commission (SEC) on October 10, 2017, but according to  Read more

Alcobra Merger Vote Scheduled with No Proxy Statement Available Class Action

It’s not uncommon for stockholders to file a class action when the Proxy Statement for a proposed merger doesn’t contain enough information to allow them to fully assess the transaction. The complaint for this class action, however, claims that no Proxy Statement at all has been filed or sent to stockholders as of this action’s  Read more

Spark Networks Merger Unfair Compensation Securities Class Action

Spark Networks owns dating properties JDate and ChristianMingle, which uses websites and mobile apps to help singles meet others of the Jewish and Christian faiths. The complaint for this class action quotes the company’s CFO on its results for the fourth quarter of 2016: “Spark ended the fourth quarter with $11.4 million of cash and  Read more

Navient Subprime Loan Handling and Securities Price Drop Class Action

According to the complaint for this class action, Navient’s statements on its recent 10-K and 10-Q filings misled investors into thinking that it exercised care in making loans and advising students on repayment plans. Thus, the complaint says, when an October 2017 lawsuit alleged that Navient (1) engaged in deceptive practices to make subprime loans,  Read more

Terraform Sale Proxy Statement Omissions Securities Class Action

The transaction at issue in this class action is the proposed sale of Terraform, a wholly-owned indirect subsidiary of SunEdison, to a party that the complaint calls “SunEdison’s preferred bidder,” Orion US Holdings. SunEdison has filed for Chapter 11 bankruptcy protection. The complaint alleges that the Proxy Statement filed in connection with the deal does  Read more

Arc Logistics Partners Sale Proxy Statement Omissions Lawsuit

The complaint for this case alleges that the Proxy Statement filed with the Securities and Exchange Commission (SEC) for the proposed sale of Arc Logistics Partners (ALP) to a number of other entities omits material information that shareholders need in order assess their interests and vote on the transaction. This lawsuit is not a class  Read more

Orbital ATK Merger Agreement Proxy Omission of Information Class Action

The board of Orbital ATK, Inc. has entered into a merger agreement to allow Northrop Grumman to buy all outstanding shares of Orbital’s common stock at $134.50 per share. Expected to close in the first half of 2018, the deal, including Orbital’s net debt is valued at about $9.2 billion, but according to the complaint  Read more

Tesla Misleading Production Projections Securities Class Action

Tesla, the maker of high-performance electric vehicles, has associated its name with high technology and the future. In its May 4, 2016 First Quarter 2016 Shareholder Update letter, it discussed its plans for its Model 3 vehicle, saying, “In the first week of taking deposits for Model 3, we received more than 325,000 reservations despite  Read more