Case Page

 

Case Status:    DISMISSED    
On or around 03/13/2001 (Other)

Filing Date: August 23, 1999

According to the docket, on December 7, 2000, the Court entered the Order and Reasons by U.S. District Judge Mary Ann Vial Lemmon granting the defendants’ motion to dismiss the plaintiffs’ consolidated amended class action complaint for failure to state a claim upon which relieve may be granted. The Court further entered the Judgment in favor of the defendants and the complaint was dismissed. The plaintiff soon after filed a Notice of appeal and on March 13, 2001, the Court entered the Order from the Fifth Circuit Court of Appeals dismissing the appeal.

The original Complaint charges that Stewart issued materially false and misleading statements during the Class Period in violation of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. The Complaint alleges that Stewart made these false and misleading statements concerning the Company's financial condition, operations, and ability to manage future growth in order to artificially increase the price of its stock to support the company's secondary public offering of common stock in February 1999. The secondary offering was needed to fund an aggressive expansion program. As a result of defendants false and misleading statements, the price of Stewart common stock was artificially inflated during the Class Period. The market first learned of a concealed shortfall in Stewart earnings in a disclosure on August 12, 1999. Prior to that disclosure, Stewart's Chairman of the Board sold over 745,000 shares of his Stewart stock, pocketing over $12.5 million. The market reaction to the August 12, 1999 news was disastrous. The price of Stewart common stock plummeted to as low as $6 per share on August 13, 1999 in extraordinarily heavy trading volume.

COMPANY INFORMATION:

Sector: Services
Industry: Personal Services
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: STEI
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. Louisiana
DOCKET #: 99-CV-2572
JUDGE: Hon. Mary Ann Vial Lemmon
DATE FILED: 08/23/1999
CLASS PERIOD START: 12/15/1998
CLASS PERIOD END: 08/12/1999
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Jackson & McPherson, LLC
    1010 Common St., Suite 1800, Jackson & McPherson, LLC, LA 70112
    504.581.9444 ·
  2. Pomerantz LLP (New York)
    600 Third Avenue, Pomerantz LLP (New York), NY 10016
    212.661.1100 212.661.8665 · info@pomerantzlaw.com/
No Document Title Filing Date
COURT: E.D. Louisiana
DOCKET #: 99-CV-2572
JUDGE: Hon. Mary Ann Vial Lemmon
DATE FILED: 12/13/1999
CLASS PERIOD START: 12/15/1998
CLASS PERIOD END: 08/12/1999
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Abbey Gardy & Squiteri LLP (San Francisco)
    595 Market Street, Suite 2500, Abbey Gardy & Squiteri LLP (San Francisco), CA 94105
    415.538.3725 ·
  2. Bernstein Liebhard & Lifshitz, LLP (New York)
    10 E. 40th Street, 22nd Floor, Bernstein Liebhard & Lifshitz, LLP (New York), NY 10016
    800.217.1522 · info@bernlieb.com
  3. Jackson & McPherson, LLC
    1010 Common St., Suite 1800, Jackson & McPherson, LLC, LA 70112
    504.581.9444 ·
  4. James V. Bashian
    500 Fifth Ave Ste 2800, James V. Bashian, NY 10110
    ·
  5. Milberg Weiss Bershad Hynes & Lerach LLP (New York, NY)
    One Pennsylvania Plaza, Milberg Weiss Bershad Hynes & Lerach LLP (New York, NY), NY 10119-1065
    212.594.5300 ·
No Document Title Filing Date
No Document Title Filing Date