Shareholders of a pharmaceuticals company recently had a law office file a class action lawsuit after allegations of securities law violations were made.
Law office Pomerantz, LLP, filed the litigation on behalf of shareholders of Sanofi Pharmaceuticals, Inc., in the U.S. District Court for the Southern District of New York. This includes all stockholders who acquired Contingent Value Rights-2011 during the class period between March 6, 2012, and Nov. 7, 2013. The reason for the lawsuit was that the company may have violated the Securities Exchange Act of 1934, specifically Sections 10(b), 20(a) and Rule 10b-5.
It is possible for shareholders to become lead plaintiff in the case, though they will need to file paperwork with the court by the end of the day on Feb. 10, 2014. In order to be approved for the position, the court must determine that they qualify to represent the class.
Sanofi Pharmaceuticals had multiple allegations brought forth in the suit related to the company's Lemtrada drug, which is used for Multiple Sclerosis. These included potentially misleading shareholders regarding the drug's clinical trials, especially due to the high level of placebo effect and observer bias.
The Food and Drug Administration's Advisory Committee released a report on Nov. 8, 2013, which noted that there were issues surrounding the safety of the drug. When this was released, the company saw its shares fall $1.23 to $0.77 each. This was a decline of more than 60 percent.
For any shareholders who are looking to learn more about the lawsuit, it is possible to speak with the law office in order to acquire more information. The best contact is Robert Willoughby, and he can be reached by email or telephone. Any shareholders who contact the firm by email have been asked to not only leave their telephone and mailing address, but also the number of shares they owned. The law office's website also has a copy of the lawsuit.
Second lawsuit filed
Another law firm noted it filed a class action claim against the board of directors at Sanofi Pharmaceuticals. Glancy Binkow and Goldberg, LLP, noted that it filed a suit in the aforementioned district court for the same class period.
This law firm also noted it is available to speak with shareholders who want to learn more about the case. Michael Goldberg or Gregory Linkh can be contacted to field questions by mail or telephone, while emailing the law office is also possible.