Case Page

 

Case Status:    SETTLED
On or around 07/18/2005 (Date of order of final judgment)

Filing Date: February 07, 2001

By the Order and Final Judgment signed by U.S. District Judge Milton I. Shadur and entered on July 18, 2005, the Stipulation and the Settlement are approved and the Action is dismissed in its entirety with prejudice and without costs to any party as against any other party. Lead Counsel was awarded the sum of $2,475,000 in attorneys’ fees and $226,049.64 as reimbursement of expenses.

In a press release dated May 25, 2005, the Settlement calls for the creation of a cash Settlement Fund in the amount of $13,750,000 to be distributed to the members of a Settlement Class, in exchange for a release of all claims against the Defendants and other Released Parties and dismissal of this action with prejudice. The complete terms of the Settlement are set forth in the Stipulation, which is available for inspection at the office of the Clerk of the Court, United States District Court for the Northern District of Illinois. The Final Settlement Hearing will be held on July 14, 2005.

According to the docket posted, on June 27, 2001, the Court entered the Minute Order by U.S. District Judge Milton I. Shadur designating Peter Moser as the most adequate plaintiff to represent the previously defined class in this action and approving the law firm of Wolf Haldenstein Adler Freeman & Herz LLC, as class counsel. Further, Case No. 01 C 874 was dismissed without prejudice. On August 14, 2001, Comdisco filed a notice of bankruptcy. On November 15, 2002, an Amended Class Action Complaint was filed and the defendants responded with a motion to dismiss the amended complaint. On March 31, 2003, the Court entered the Minute Order denying the defendants’ motion to dismiss the amended complaint.

By the Memorandum and Order dated March 26, 2001, the Court granted the Plaintiff’s motion for a finding of relatedness. The twelve purported class actions filed against Comdisco were all found to be related to case 01-CV-874 and, for convenience, a separate case number, 01-CV-2110, and the general caption "In re Comdisco Securities Litigation" were employed in all future orders and opinions.

The original complaint charges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5, by issuing a series of material misrepresentations to the market concerning the company's operations and its Prism Communications Services subsidiary. Specifically, the complaint alleges that defendants repeatedly issued positive statements concerning Prism, Prism's expansion into new markets and purported positive developments in Prism's existing markets but failed to disclose that Prism was suffering from a host of adverse factors including that incumbent local exchange carriers were slow to provide Prism access to their networks and Prism was experiencing intense competition from entrenched telecommunications companies. On 10/03/2000, Comdisco announced that it would stop funding Prism and would write down its investment in Prism, which amounted to $350 million. In response, Comdisco's stock price dropped 23% in one day from $17.5625 per share to $13.37 per share (representing a 66% drop from the class period high of $53 per share).

NOTE: Although Comdisco was originally named as a defendant in this action, during the pendency of this case, Comdisco filed for bankruptcy protection under Chapter 11 of the United States Bankruptcy Code. By virtue of its bankruptcy filing and by agreement, Comdisco is not named as a defendant herein and plaintiffs are pursuing their herein-described claims only against Individual Defendants.

COMPANY INFORMATION:

Sector: Services
Industry: Rental & Leasing
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: CDO
Company Market: New York SE
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: N.D. Illinois
DOCKET #: 01-CV-00874
JUDGE: Hon. William J. Hibbler
DATE FILED: 02/07/2001
CLASS PERIOD START: 01/25/2000
CLASS PERIOD END: 10/03/2000
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Law Offices of Marc S. Henzel (Lawrence)
    335 Central Avenue, Law Offices of Marc S. Henzel (Lawrence), NY 11559
    516.374.0707 516.295.3473 · securitiesfraud@comcast.net
  2. 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
  3. Pomerantz LLP (New York)
    600 Third Avenue, Pomerantz LLP (New York), NY 10016
    212.661.1100 212.661.8665 · info@pomerantzlaw.com/
  4. Rabin & Peckel LLP
    275 Madison Avenue, 34th Floor, Rabin & Peckel LLP, NY 10016
    212.682.1818 212.682.1892 · email@rabinlaw.com
  5. Savett Frutkin Podell & Ryan, P.C.

    800.993.3233 · sfprpc@op.net
  6. Schatz & Nobel, P.C.
    330 Main Street, Schatz & Nobel, P.C., CT 06106
    800.797.5499 860.493.6290 · sn06106@AOL.com
  7. Spector Roseman & Kodroff (San Diego)
    1818 Market Street, Suite 2500, Spector Roseman & Kodroff (San Diego), PA 19103
    215.496.0300 215.496.6611 ·
  8. Stull, Stull & Brody (New York)
    6 East 45th Street, Stull, Stull & Brody (New York), NY 10017
    310.209.2468 310.209.2087 · SSBNY@aol.com
No Document Title Filing Date
COURT: N.D. Illinois
DOCKET #: 01-CV-2110
JUDGE: Hon. William J. Hibbler
DATE FILED: 11/15/2002
CLASS PERIOD START: 11/03/1999
CLASS PERIOD END: 10/03/2000
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Kenneth A. Elan (former NY)
    217 Broadway Suite 404, Kenneth A. Elan (former NY), NY 10007
    212.619.0260 ·
  2. Law Offices of Charles J. Piven, P.A.
    World Trade Center-Baltimore,401 East Pratt Suite 2525, Law Offices of Charles J. Piven, P.A., MD 21202
    410.332.0030 · pivenlaw@erols.com
  3. Law Offices of Marc S. Henzel (Lawrence)
    335 Central Avenue, Law Offices of Marc S. Henzel (Lawrence), NY 11559
    516.374.0707 516.295.3473 · securitiesfraud@comcast.net
  4. Leo W. Desmond
    2161 Palm Beach Lakes Boulevard, Suite 204, Leo W. Desmond, FL 33409
    561.712.8000 561.712.8000 · stocklaw@bellsouth.net
  5. Lockridge, Grindal, Nauen P.L.L.P.
    Suite 301, 660 Pennsylvania Avenue Southeast, Lockridge, Grindal, Nauen P.L.L.P., DC 20003-4335
    202.544.9840 202.544.9850 ·
  6. 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 ·
  7. Much Shelist Freed Denenberg Ament & Rubenstein, PC

    800-470-6824 312-621-1750 ·
  8. Pomerantz LLP (New York)
    600 Third Avenue, Pomerantz LLP (New York), NY 10016
    212.661.1100 212.661.8665 · info@pomerantzlaw.com/
  9. Savett Frutkin Podell & Ryan, P.C.

    800.993.3233 · sfprpc@op.net
  10. Schatz & Nobel, P.C.
    330 Main Street, Schatz & Nobel, P.C., CT 06106
    800.797.5499 860.493.6290 · sn06106@AOL.com
  11. Wechsler Harwood LLP
    488 Madison Avenue 8th Floor, Wechsler Harwood LLP, NY 10022
    212.935.7400 · info@whhf.com
  12. Wolf Haldenstein Adler Freeman & Herz LLP (New York)
    270 Madison Avenue, Wolf Haldenstein Adler Freeman & Herz LLP (New York), NY 10016
    212.545.4600 212.686.0114 · newyork@whafh.com
No Document Title Filing Date