Investors sue Apple over stock grants
Apple Computer on Wednesday announced that two lawsuits have been filed against the company as a result of its
awarding of stock grants.
The derivative suits were filed in the United States District Court for the Northern District of California and the Superior Court for Santa Clara County, Apple said in a statement.
Both suits make claims against current and former officers and directors with respect to the company's awarding of stock option grants.
Last week, Apple announced that it had discovered irregularities in the issuance of certain stock option grants and that it is conducting an independent investigation into the matter.
Apple says it is currently evaluating its response to the lawsuits.
awarding of stock grants.
The derivative suits were filed in the United States District Court for the Northern District of California and the Superior Court for Santa Clara County, Apple said in a statement.
Both suits make claims against current and former officers and directors with respect to the company's awarding of stock option grants.
Last week, Apple announced that it had discovered irregularities in the issuance of certain stock option grants and that it is conducting an independent investigation into the matter.
Apple says it is currently evaluating its response to the lawsuits.
Comments
Originally posted by SpamSandwich
Another class-action suit brought about by bloodsucking lawyers that benefits noone but themselves.
That is a Fact.
Originally posted by SpamSandwich
Another class-action suit brought about by bloodsucking lawyers that benefits noone but themselves.
Hey, there's no mention of these being class-action. They have to be approved first in order to get that status.
But, then again, apparently no one cares whether Apple actually violated any law or reporting/accounting rules, which, in turn, could have caused a misstatement about the company's value and, thus, caused the stock's value to be regarded as worth more than it should have been.
But, then, if you don't like the lawsuit, how would you deal with the money lost (assumedly) from the mistakes. Just have them pay the SEC a small fine and pretend it didn't happen?
Originally posted by Louzer
Hey, there's no mention of these being class-action. They have to be approved first in order to get that status.
But, then again, apparently no one cares whether Apple actually violated any law or reporting/accounting rules, which, in turn, could have caused a misstatement about the company's value and, thus, caused the stock's value to be regarded as worth more than it should have been.
But, then, if you don't like the lawsuit, how would you deal with the money lost (assumedly) from the mistakes. Just have them pay the SEC a small fine and pretend it didn't happen?
I think the issue here is that there really hasn't been enough time to determine what, precisely, the effect of the irregularities has been. Personally, I think it's a bit too early to go running to file lawsuits. Couldn't we wait a few weeks until some questions are answered, and those involved have a better understanding of what is going on?
Originally posted by Louzer
Hey, there's no mention of these being class-action. They have to be approved first in order to get that status.
But, then again, apparently no one cares whether Apple actually violated any law or reporting/accounting rules, which, in turn, could have caused a misstatement about the company's value and, thus, caused the stock's value to be regarded as worth more than it should have been.
But, then, if you don't like the lawsuit, how would you deal with the money lost (assumedly) from the mistakes. Just have them pay the SEC a small fine and pretend it didn't happen?
How can anyone justify a lawsuit if there is no knowledge of any malfeasance? Cases are not supposed to be fishing expeditions, and that's all these suits could qualify for at the moment.
Originally posted by Hiro
How can anyone justify a lawsuit if there is no knowledge of any malfeasance? Cases are not supposed to be fishing expeditions, and that's all these suits could qualify for at the moment.
However, just the announcement itself could cause severe price drops in the stock, and, in itself, warrant a lawsuit, let alone whatever malfeasance also took place.
Hey, and if there's going to be a lawsuit, first one in is likely to be the class leader!
Originally posted by Louzer
However, just the announcement itself could cause severe price drops in the stock, and, in itself, warrant a lawsuit, let alone whatever malfeasance also took place.
Hey, and if there's going to be a lawsuit, first one in is likely to be the class leader!
It's risky to sue too soon. The judge can dismiss the case even if there turns out to be something later and then the too early litigants go to the back of the line. And the severe price drops didn't happen, down just a bit relative to the rest of the down market won't qualify as significant.