posted on August 1, 2001 02:23:47 PM new
Those types of lawsuits exist solely to generate money for greedy lawyers. If you read the news item carefully, you will see that what it really is, is an allegation of misdeeds committed and a solicitation for people to volunteer to join the class.
If you check their website you will see they have currently got 96 lawsuits pending against various dotcoms, and they even have a "countdown" of time remaining to join the class for each one.
Amazon was in a similar situation not too long ago when Jeff Bezos sold a bunch of Stock favorably to him (and disfavorably to many investors) and about 20-30 wall street law firms tried to get a class action lawsuit started. I don't believe any of them ever went anywhere. I expect this latest lawsuit also will not go anywhere.
In an unusually speedy action, a federal judge has dismissed several recent lawsuits against Morgan Stanley Dean Witter Inc.'s Mary Meeker, calling the allegations "gross and unrestrained."
U.S. District Judge Milton Pollack in Manhattan said the suits, which accuse Meeker of issuing overly optimistic stock calls during the tech stock bull market, are an example of "abusive litigation."
We are gratified but not surprised by this decision," said a Morgan Stanley spokesman. "We have said consistently that these complaints are nothing more than publicity stunts masquerading as lawsuits."
He noted that the district court has the power to dismiss a lawsuit when certain requirements aren't met. In this instance, "the complaint filed herein is an abuse of the tenets of federal pleading and to say the least is in grossly bad taste," he wrote.
[ link booboo ]
[ edited by wbbell on Aug 22, 2001 08:39 AM ]
