Panel:  Tesla Stock-Drop Suit Properly Dismissed For Failure To Plead Falsity

Mealey's (January 27, 2021, 2:05 PM EST) -- SAN FRANCISCO — A Ninth Circuit U.S. Court of Appeals panel on Jan. 26 ruled that a federal district court did not err in dismissing shareholder claims with prejudice in a securities class action lawsuit against automaker Tesla Inc. and certain of its senior executives because the shareholders failed to sufficiently plead falsity in alleging that the defendants misrepresented the production status of its Model 3 automobile in violation of federal securities law....