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Case Status:    SETTLED
On or around 07/12/2001 (Date of order of final judgment)

Filing Date: October 10, 2000

According to the docket posted, on July 10, 2001, the settlement hearing was held before U.S. District Judge Edward F. Harrington. On July 12, 2001, the Court entered the Order and Final Judgment. Pursuant to the Order and Final Judgment, the Court approved the terms of the stipulation and the settlement as fair, reasonable, and adequate and in the best interests of the class. Further, the Court approved lead counsels’ request for an award of attorneys' fees equal to 30% of the $7.5 million settlement fund plus accrued interest, and reimbursement of out-of-pocket expenses in the amount of $85,559.25.

By the Notice of Pendency of Class Action, a Settlement Hearing will be held before the Honorable Edward D. Harrington in Courtroom No. 19 of the United States Courthouse, U.S. Courthouse, 1 Courthouse Way, Boston, MA on July 10, 2001 at 2:00 p.m. (the “Settlement Hearing”) to determine, among other things, whether the proposed Settlement as set for in the Stipulation and Agreement of Compromise, Settlement and Release dated March 14, 2001 (the “Stipulation”), is fair, reasonable and adequate, and to consider the application of Plaintiffs’ Counsel for attorneys’ fees and reimbursement of expenses. A settlement fund consisting of $7,500,000 in cash, plus interest, has been established.

The Court, by Preliminary Order In Connection With The Settlement Proceedings, dated April 5, 2001, has certified a plaintiff class consisting of: “all persons and entities who purchased or otherwise acquired Interspeed common stock during the time period beginning and including September 24, 2999 through and including October 6, 2000 (the “Class Period”).”

On January 8, 2001, the Court appointed eleven Lead Plaintiffs. Following negotiations, the parties reached an agreement on the terms of a potential settlement of the Action. The parties entered into a Memorandum of Understanding (“MOU”) dated February 16, 2001, which sets forth the terms of a settlement of the Action. Thereafter, the parties entered into a Stipulation and Agreement of Compromise, Settlement and Release subject to approval by the Court.

The complaint alleges that Interspeed, certain of its officers and Brooktrout, Inc. (Nasdaq: BRKT), Interspeed's controlling shareholder, violated the federal securities laws by providing materially false and misleading information about the Company's business and financial condition which caused Interspeed's stock to trade at artificially inflated prices during the Class Period. On October 6, 2000, Interspeed announced that it was considering restating its first, second and third quarter 2000 financial statements because of accounting misstatements. Interspeed further announced the resignation of defendant Stephen A. Ide, Interspeed's President and CEO, together with the termination of several of its key employees. On this news, Interspeed's shares plummeted to as low as $1.00 -- more than 97% off its Class Period high of $37.00.


Sector: Technology
Industry: Communications Equipment
Headquarters: United States


Ticker Symbol: ISPDE
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: D. Massachusetts
DOCKET #: 00-CV-12090
JUDGE: Hon. Edward F. Harrington
DATE FILED: 10/10/2000
CLASS PERIOD END: 10/06/2000
  1. Berger & Montague PC
    1622 Locust Street, Berger & Montague PC, PA 19103
    800.424.6690 215.875.4604 ·
  2. Berman DeValerio Pease Tabacco Burt & Pucillo (MA)
    One Liberty Square, Berman DeValerio Pease Tabacco Burt & Pucillo (MA), MA 02109
    617.542.8300 ·
  3. Pomerantz LLP (New York)
    600 Third Avenue, Pomerantz LLP (New York), NY 10016
    212.661.1100 212.661.8665 ·
  4. Rabin & Peckel LLP
    275 Madison Avenue, 34th Floor, Rabin & Peckel LLP, NY 10016
    212.682.1818 212.682.1892 ·
  5. Shapiro Haber & Urmy LLP (Boston)
    75 State Street, Shapiro Haber & Urmy LLP (Boston), MA 02109
    617.439.3939 617.439.0134 ·
  6. Wechsler Harwood LLP
    488 Madison Avenue 8th Floor, Wechsler Harwood LLP, NY 10022
    212.935.7400 ·
  7. Wolf Popper, LLP
    845 Third Avenue, Wolf Popper, LLP, NY 10022-6689
    877.370.7703 212.486.2093 ·
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