Case Page

 

Case Status:    DISMISSED    
On or around 05/08/2001 (Other)

Filing Date: March 12, 1999

According to the Company’s Form 10-Q for the quarterly period ended June 30, 2001, on April 24, 2001, the lead plaintiffs dismissed their appeal to the Eighth Circuit Court and on May 30, 2001, the Eighth Circuit Court issued an order dismissing the plaintiffs' appeal.

As summarized by the same SEC filing, on January 11, 2000, the plaintiffs amended their complaint, which superseded all other complaints. The amended complaint named the Company and one of its officer/directors as defendants. The Company filed a motion to dismiss this amended consolidated complaint. On June 29, 2000, the Court issued a Memorandum Opinion and Order (the "Order") dismissing most of the allegations in the consolidated complaint. As to the remaining allegations in the consolidated complaint, following the Order, on July 12, 2000, the Company filed a motion for partial reconsideration to dismiss the remaining allegations in the consolidated complaint. The lead plaintiffs filed a response to the Company’s partial reconsideration motion on July 24, 2000 and the Company filed a reply motion to the response by the lead plaintiffs on July 26, 2000. On November 27, 2000, the Court granted the Company’s motion for partial reconsideration and dismissed all of the remaining allegations in the complaint. The lead plaintiffs filed a motion for reconsideration on December 11, 2000. The Company filed a response to the lead plaintiffs' motion for reconsideration on December 20, 2000. On January 9, 2001, the Court rejected the lead plaintiffs' request for reconsideration resulting in the entire consolidated complaint being dismissed by the Court. On February 9, 2001, the lead plaintiffs appealed the dismissal of the consolidated complaint by the Court to the Eighth Circuit Court of Appeals (the "Eighth Circuit Court") in St. Louis, Missouri.

The original complaint alleges that StaffMark and certain of its officers and directors violated the federal securities laws by issuing false statements about StaffMark's business which caused its stock price to trade at artificially inflated prices. Specifically, the Complaint alleges that, on February 24, 1999, all levels of senior management of StaffMark stated that they were "confiden[t] about operations" and that, while December 98 and early January 99 business had been slow, StaffMark's business was ramping up "as fast or faster than expected." However, the Complaint alleges that, just five days later, StaffMark revealed that its revenues from its key Intellimark division had shown 0% growth in January and 4-5% growth in February, both well under budget, and that as a result, StaffMark's earnings for the first quarter of 1999 and Year 1999 would fall dramatically below expectations.

The Complaint further alleges that these disclosures caused StaffMark common stock to collapse in price and that -- just one month prior to these revelations -- StaffMark's largest shareholder sold 250,000 StaffMark shares for $4 million. The Complaint also alleges that, just three months before StaffMark collapsed in price, StaffMark used $140 million worth of its artificially inflated stock as a currency to acquire Robert Walters plc, a European business. At the same time, StaffMark's CEO had stated that StaffMark was "undervalued."

COMPANY INFORMATION:

Sector: Services
Industry: Business Services
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: STAF
Company Market: NASDAQ
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: E.D. Arkansas
DOCKET #: 99-CV-172
JUDGE: Hon. G. Thomas Eisele
DATE FILED: 03/12/1999
CLASS PERIOD START: 10/08/1998
CLASS PERIOD END: 03/02/1999
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Finkelstein & Krinsk LLP
    501 West Broadway, Suit 1250, Finkelstein & Krinsk LLP, CA 92101
    877.493.5366 619.238.5425 ·
  2. Law Offices of Steven E. Cauley, P.A. (Little Rock)
    2200 Rodney Parham Road Suite 218, Law Offices of Steven E. Cauley, P.A. (Little Rock), AR 72212
    501.312.8500 ·
  3. Milberg Weiss Bershad Hynes & Lerach LLP (San Diego, CA)
    600 West Broadway, 1800 One America Plaza, Milberg Weiss Bershad Hynes & Lerach LLP (San Diego, CA), CA 92101
    800.449.4900 · support@milberg.com
  4. Schatz & Nobel, P.C.
    330 Main Street, Schatz & Nobel, P.C., CT 06106
    800.797.5499 860.493.6290 · sn06106@AOL.com
  5. Scott & Scott LLC (Connecticut)
    P.O. Box 192, 108 Norwich Avenue, Scott & Scott LLC (Connecticut), CT 06415
    860.537.5537 860.537.4432 · scottlaw@scott-scott.com
No Document Title Filing Date
COURT: E.D. Arkansas
DOCKET #: 99-CV-172
JUDGE: Hon. G. Thomas Eisele
DATE FILED: 01/11/2000
CLASS PERIOD START: 02/03/1998
CLASS PERIOD END: 03/02/1999
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Finkelstein & Krinsk LLP
    501 West Broadway, Suit 1250, Finkelstein & Krinsk LLP, CA 92101
    877.493.5366 619.238.5425 ·
  2. Law Offices of Steven E. Cauley, P.A. (Little Rock)
    2200 Rodney Parham Road Suite 218, Law Offices of Steven E. Cauley, P.A. (Little Rock), AR 72212
    501.312.8500 ·
  3. Milberg Weiss Bershad Hynes & Lerach LLP (San Diego, CA)
    600 West Broadway, 1800 One America Plaza, Milberg Weiss Bershad Hynes & Lerach LLP (San Diego, CA), CA 92101
    800.449.4900 · support@milberg.com
  4. Schatz & Nobel, P.C.
    330 Main Street, Schatz & Nobel, P.C., CT 06106
    800.797.5499 860.493.6290 · sn06106@AOL.com
  5. Scott & Scott LLC (Connecticut)
    P.O. Box 192, 108 Norwich Avenue, Scott & Scott LLC (Connecticut), CT 06415
    860.537.5537 860.537.4432 · scottlaw@scott-scott.com
  6. Weiss & Yourman (New York, NY)
    The French Building, 551 Fifth Ave., Suite 1600, Weiss & Yourman (New York, NY), NY 10126
    212.682.3025 212.682.3010 · info@wyca.com
No Document Title Filing Date