Judge: Lead Plaintiff In Securities Class Action Failed To Plead Materiality

Mealey's (May 26, 2016, 1:25 PM EDT) -- NEW YORK — Dismissal of a securities class action lawsuit is proper because the lead plaintiff in the action failed to plead materiality or show that an online retailer had a duty to disclose that Overstock.com was a direct competitor in offering documents for the retailer’s initial public offering (IPO) in making his federal securities law claims, a federal judge in New York ruled May 24 (Gerald Dingee, et al. v. Wayfair Inc., et al., No. 15-6941, S.D. N.Y.; 2016 U.S. Dist. LEXIS 68322).

(Opinion available....
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