A law office recently released the details of a pending class action settlement involving shareholders of a pharmaceutical company.
Robbins Geller Rudman and Dowd, LLP, noted that the lawsuit filed against Hospira, Inc., in the U.S. District Court for the Northern District of Illinois has a proposed settlement. This involves all shareholders who acquired stock in the company during the class period between Feb. 4, 2010, and Oct. 17, 2011.
The settlement, if approved, would provide the class with $60 million in cash. Judge Amy St. Eve will determine if this is an adequate amount during a hearing at the aforementioned court on Aug. 5, 2014. She will also make decisions regarding whether or not the lawsuit should be further dismissed against Hospira, as well as whether the payment of attorneys' fees and distribution plan are adequate, among other issues.
It is important for shareholders to speak with the claims administrator in order to take part in the settlement. This is especially necessary for those who have not yet been sent the notice of pendency of class action and proposed settlement, as well as the motion for attorneys' fees and settlement fairness hearing. The claims administrator can also help when seeking out the proof of claim and release form. The best way to get in contact with the claims administrator is to send a letter or visit the website.
A completed proof of claim and release form is necessary by July 21, 2014, and those who do not accomplish this will still be bound to the judgment, but not eligible to receive any funds. Those who do not want to be a part of the settlement need to speak with the claims administrator and the court clerk by July 15, 2014.
Lawsuit initially filed in 2011
Another law firm originally filed the litigation against Hospira in 2011, due to potential federal securities violations.
Saxena White, P.A., filed the securities class action lawsuit in the aforementioned court for the same class period. The pharmaceutical company was alleged to be in violation of the Securities Exchange Act of 1934 due to making a number of statements that may have been false or misleading about its financial performance and business prospects.
Due to these issues, the company saw its stock drop considerably, which was the origination for the lawsuit.