Case Page

 

Case Status:    DISMISSED    
On or around 03/18/2002 (Other)

Filing Date: November 15, 2001

According to the Form 10-K for the fiscal year ended December 31, 2001, on
November 29, 2001 and December 20, 2001, respectively, two similar purported
class action complaints, captioned Scala v. XOMA Ltd., et al., No. C-01-4610
(WHA) (N.D. Calif.) and Malmut v. XOMA Ltd., et al., No. C-01-5006 (MJJ) (N.D.
Calif.), were filed in that same federal district court. After further investigating the issues, plaintiffs' counsel filed with the Court on March 11, 2002, a Stipulation and Proposed Order of Voluntary Dismissal in all three actions. On March 13, 2002, the Court entered an Order dismissing each of the lawsuits without prejudice. No
consideration was exchanged.

The complaint alleges the Berkeley-based biopharmaceuticals manufacturer issued false and misleading statements about its plans to file a Food and Drug Administration (FDA) application for Xanelim, an experimental psoriasis drug XOMA was co-developing with Genentech Inc. For investors in XOMA, successful development of Xanelim was pivotal. In 20 years, the company had never turned a profit or brought a drug to market. Filing the application, known as a Biologics Licensing Application (BLA), was an important step in gaining FDA approval for the drug. XOMA repeatedly said it planned to file the BLA with the agency by the end of 2001 or the first quarter of 2002. That timetable would have put XOMA and Genentech in a neck-and-neck race with Biogen, Inc. to be the first manufacturer to market an effective treatment for psoriasis. The winner would gain a significant advantage in a lucrative market that is expected to reach $2 billion by the year 2005. In fact, XOMA and Genetech were nearly a year behind Biogen. At the time XOMA told investors it planned to file its BLA by the end of 2001, it knew but failed to disclose that a change in its manufacturing process would necessarily delay filing until after that date. On October 4, 2001, XOMA admitted that it would not file the BLA until the summer of 2002 at the earliest. The next day the price of XOMA stock fell as low as $6.40 from a closing price of $9.76 per share a day earlier.

COMPANY INFORMATION:

Sector: Healthcare
Industry: Biotechnology & Drugs
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: XOMA
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: N.D. California
DOCKET #: 01-CV-4256
JUDGE: Hon. Claudia Wilken
DATE FILED: 11/15/2001
CLASS PERIOD START: 05/24/2001
CLASS PERIOD END: 10/04/2001
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Berman DeValerio Pease Tabacco Burt & Pucillo (CA)
    425 California Street, Suite 2025, Berman DeValerio Pease Tabacco Burt & Pucillo (CA), CA 94104
    415.433.3200 415.433.6382 ·
  2. Brodsky & Smith, LLC (former Pennysylvania)
    11 Bala Avenue, Suite 39, Brodsky & Smith, LLC (former Pennysylvania), PA 19004
    610.668.7987 610.660.0450 · esmith@Brodsky-Smith.com
  3. Farrow, Bramson & Plutzik
    2125 Oak Grove Rd., Suite 120, Farrow, Bramson & Plutzik, CA 94598
    925-945-0200 · fbbp@hotcoco.infi.net
  4. Faruqi & Faruqi LLP (New York) (former)
    320 East 39th Street, Faruqi & Faruqi LLP (New York) (former), NY 10016
    212.983.9330 212.983.9331 · Nfaruqi@faruqilaw.com
  5. 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
  6. Leo W. Desmond
    2161 Palm Beach Lakes Boulevard, Suite 204, Leo W. Desmond, FL 33409
    561.712.8000 561.712.8000 · stocklaw@bellsouth.net
  7. Levy & Levy

    ·
  8. Mark McNair
    1919 Pennsylvania Avenue, NW, Suite 800, Mark McNair , DC 20006
    703.273.3070 · wmmcnair@justice4investors.com
  9. The Rosen Law Firm, P.A. P.C. (New York, Former Office)
    275 Madison Avenue, 34th Floor, The Rosen Law Firm, P.A. P.C. (New York, Former Office), NY 10016
    212.686.1060 212.202.3827 · info@rosenlegal.com
  10. Wechsler Harwood LLP
    488 Madison Avenue 8th Floor, Wechsler Harwood LLP, NY 10022
    212.935.7400 · info@whhf.com
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