Stock Promotion Articles Not Actionable In Securities Class Action, Panel Rules

(December 22, 2016, 12:10 PM EST) -- ATLANTA — A pharmaceutical company and certain of its officers and directors cannot be held liable for articles promoting the company’s new nonalcoholic steatohepatitis drug because, even though the company paid stock promoters to write the articles, the defendants did not actually make any of the alleged misstatements, an 11th Circuit U.S. Court of Appeals panel ruled Dec. 15 (In re Galectin Therapeutics Inc. Securities Litigation, No. 16-10324, 11th Cir.; 2016 U.S. Dist. LEXIS 22317)....