Case Page

 

Case Status:    DISMISSED    
On or around 11/18/2005 (Other)

Filing Date: June 25, 2004

According to the Company’s FORM 10-K for the fiscal year ended January 1, 2006, on October 8, 2004, the Court issued an order consolidating the individual actions. On November 1, 2004, the Court appointed lead plaintiffs and lead plaintiffs’ counsel. On January 11, 2005, the Consolidated Amended Complaint was filed by the lead plaintiffs. On March 15, 2005, the defendants moved to dismiss the complaint, and October 19, 2005, the Court granted the motion and dismissed all of the plaintiffs’ claims. Applying the heightened pleading standards of the Private Securities Litigation Reform Act of 1995, or PSLRA, the Court found that all of the allegedly false statements were “forward-looking statements” and were accompanied by sufficient cautionary language to fall under the safe harbor for forward-looking statements provided by the PSLRA. On November 18, 2005, the court signed the final order dismissing this case.

The original complaint charges drugstore.com, its CEO, CFO, and CIO with violations of Section 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder. The Company's CEO is also charged with violating Section 20A of the Exchange Act. The complaint alleges that throughout the Class Period, Defendants issued false and misleading projections of the Company's fiscal year 2004 and second quarter 2004 earnings and overall profitability. While the market was focused on the positive guidance Defendants issued, Company insiders, including Defendants, sold millions of their Company stock. After selling nearly all of his holdings, the Company's CEO resigned while the Company issued revised downward guidance. Upon the Company's disclosure its stock plummeted 38%, on usually high trading volume of 3.8 million shares, from its June 10, 2004 close of $4.91 per share to a close of $3.06 on June 14, 2004.

COMPANY INFORMATION:

Sector: Services
Industry: Retail (Drugs)
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: DSCM
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: W.D. Washington
DOCKET #: 04-CV-1474
JUDGE: Hon. Ricardo S. Martinez
DATE FILED: 06/25/2004
CLASS PERIOD START: 01/20/2004
CLASS PERIOD END: 06/10/2004
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. 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
  2. Lerach Coughlin Stoia Geller Rudman & Robbins LLP (Los Angeles)
    355 S. Grand Avenue, Suite 4170, Lerach Coughlin Stoia Geller Rudman & Robbins LLP (Los Angeles), CA 90071
    213.617.9007 213.617.9185 · info@lerachlaw.com
  3. Milberg Weiss Bershad & Schulman LLP (Seattle)
    1001 4th Avenue, Suite 2550, Milberg Weiss Bershad & Schulman LLP (Seattle), WA 98154
    206.839.0730 206.839.0728 · info@milbergweiss.com
  4. Schiffrin & Barroway LLP
    3 Bala Plaza E, Schiffrin & Barroway LLP, PA 19004
    610.667.7706 610.667.7056 · info@sbclasslaw.com
  5. 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
  6. 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
COURT: W.D. Washington
DOCKET #: 04-CV-1474
JUDGE: Hon. Ricardo S. Martinez
DATE FILED: 01/11/2005
CLASS PERIOD START: 01/20/2004
CLASS PERIOD END: 06/10/2004
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Keller Rohrback LLP (Seattle)
    1201 Third Avenue, Suite 3200, Keller Rohrback LLP (Seattle), WA 98101-3052
    800.776.6044 206.623.3384 · investor@kellerrohrback.com
  2. Milberg Weiss Bershad & Schulman LLP (Seattle)
    1001 4th Avenue, Suite 2550, Milberg Weiss Bershad & Schulman LLP (Seattle), WA 98154
    206.839.0730 206.839.0728 · info@milbergweiss.com
  3. Schiffrin & Barroway LLP
    3 Bala Plaza E, Schiffrin & Barroway LLP, PA 19004
    610.667.7706 610.667.7056 · info@sbclasslaw.com
  4. 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
No Document Title Filing Date