In In re Psychemedics Corp. Securities Litigation, No. 17-cv-10186-RGS, 2017 BL 399136 (D. Mass. Nov. 07, 2017), the United States District Court for the District of Massachusetts granted Psychemedics Corp. (“Psychemedics”) and Raymond Kubacki’s (“Kubacki”), Psychemedics’ Chief Executive Officer, (collectively, “Defendants”) motion to dismiss for failure to state a claim in a putative class action brought by Mary Kathleen Hermann on behalf of all of those who purchased Psychemedics common stock between February 10, 2014 and January 31, 2017 (collectively, “Plaintiffs”). Based on Plaintiffs’ failure to allege facts sufficient to support an inference of scienter, the court granted dismissal of the claims alleging violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
Read MoreIn Schaffer, et al. v. Horizon Pharma PLC, et al., No. 16-CV-1763 (JMF), 2018 BL 16225 (S.D.N.Y. Jan. 18, 2018), the Southern District of New York dismissed the claims brought by a class of plaintiffs (“Plaintiffs”) against Horizon Pharma PLC (“Horizon”), a number of Horizon’s executives (“Individual Defendants”), and various underwriters (Horizon, Individual Defendants and the underwriters, collectively “Defendants”). The complaint alleged Horizon and Individual Defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended (“Exchange Act”) and Rule 10b-5 thereunder, and Defendants violated Sections 11, 12(a)(2), and 15 of the Securities Act of 1933, as amended (“Securities Act”). The court held Plaintiffs’ complaint only gave conclusory statements and insufficient facts to establish securities fraud or scienter and dismissed the complaint.
Read MoreIn Eli Lilly & Co., 2018 BL 7440 (Jan. 8, 2018), Eli Lilly & Company (“Eli Lilly”) asked the staff of the Securities and Exchange Commission (“SEC”) to permit the omission of a proposal submitted by William Steiner (“Shareholder”) requesting the board to replace the company’s supermajority voting requirement with a simple majority requirement. The SEC issued the requested no-action letter allowing for the exclusion of the proposal from the 2018 proxy materials under Rule 14a-8(i)(10).
Read MoreIn City of Hialeah Employees' Retirement System v. FEI, No. 3-16-cv-1792-SI, 2018 BL 25615 (D. Or. Jan. 25, 2018), the United States District Court for the District of Oregon granted a motion to dismiss the City of Hialeah Employees’ Retirement System’s (“Plaintiff”) Second Amended Complaint (“SAC”), filed against FEI Company ("FEI"), Thermo Fisher Scientific Inc. ("Thermo"), and named Individual Defendants, Thomas Kelly, Donald Kania, Homa Bahrami, Arie Huijser, Jan Lobbezoo, Jami Dover Nachstsheim, James Richardson, and Richard Wills (collectively, "Defendants"), finding Plaintiff failed to adequately plead that Defendants’ violated Section14(a) of the Securities Exchange Act of 1934 (“Exchange Act”) and that Individual Defendants violated Section 20(a) of the Exchange Act.
Read MoreIn Starbucks Corp., 2018 BL 2480 (January 4, 2018), Starbucks Corp. (“Starbucks” or “Company”) asked the staff of the Securities and Exchange Commission (“SEC”) to permit the omission of a proposal submitted by Thomas Strobhar (“Proponent”) requesting the board issue a report disclosing Starbucks’ standards and process for making charitable contributions. The SEC issued the requested no action letter allowing for the exclusion of the proposal under Rule 14a-8(i)(7).
Read MoreIn Moore v. Payson Petroleum Grayson, LLC, No. 3:17-CV-1436-M-BH, 2018 BL 21203 (N.D. Tex. Jan. 23, 2018), the court denied a motion to transfer venue filed by seven Payson Petroleum Grayson, LLC (“Payson”) investors (“Plaintiffs”), from the Northern District of Texas, Dallas Division (“Dallas Division”), to the Eastern District of Texas, Sherman Division (“Sherman Division”). In the class action, Plaintiffs’ alleged Payson and twelve other defendants (collectively “Defendants”) violated the Texas Securities Act. In denying the motion to transfer, the court reasoned both private and public interest factors, as well as the interest of justice, did not warrant transfer.
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