Case Page

 

Case Status:    SETTLED
On or around 08/12/2008 (Date of order of final judgment)

Filing Date: August 10, 2005

On January 12, 2009, an order was entered by the court regarding proper class members regarding the proposed settlement.

On November 27, 2007, a response in opposition in regards to the joint motion for judgment on the pleadings was filed by the Schottenfeld Qualified Associates LP. On November 28, 2007, a motion to strike the previously mentioned document was filed by Workstream, INC. As a response, the court denied the defendants’ motion to strike and entered its order on January 09, 2008. On March 13, 2008, a stipulation and agreement of settlement was entered. At the same time, a preliminary order was also entered. Lastly, a final judgment order was entered to approve the settlements on August 13, 2008 and the case is closed.

According to the Company’s FORM 10-Q for the quarterly period ended August 31, 2007, in December 2005, the plaintiffs filed an amended complaint which added additional plaintiffs and sought to elaborate on the allegations contained in the complaint. The defendant’s counsel filed a motion to dismiss the complaint, which was denied. Defendants have answered the amended complaint, denying its material allegations. The Court has certified the case as a class action and has approved notice to the class. Discovery is continuing.

The original Complaint alleges that throughout the relevant period, the defendants failed to disclose and misrepresented material adverse facts which were known to defendants or recklessly disregarded by them and which caused the defendants to issue materially false and misleading financial statements and projections which, among other things, caused the price of Workstream stock to trade at artificially inflated prices. The complaint alleges, for example, that defendants purposefully overstated and exaggerated Workstream's projected revenues and earnings, and other related measures of the company's financial condition, by improperly recognizing revenue for sales of software using inapplicable "percentage of completion" accounting methodologies.

On April 20, 2009, a Class Distribution Order granted the Claims Administrator's administrative determinations concerning the acceptance and rejection of the claims submitted by Class Members.

COMPANY INFORMATION:

Sector: Services
Industry: Business Services
Headquarters: Canada

SECURITIES INFORMATION:

Ticker Symbol: WSTM
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: S.D. New York
DOCKET #: 05-CV-7092
JUDGE: Hon. Charles L. Brieant
DATE FILED: 08/10/2005
CLASS PERIOD START: 01/14/2005
CLASS PERIOD END: 04/14/2005
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Federman & Sherwood (Oklahoma City)
    120 North Robinson, Suite 2720, Federman & Sherwood (Oklahoma City), OK 73102
    405-235-1560 · wfederman@aol.com
  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. Sarraf Gentile LLP (former NY)
    485 Seventh Avenue, Suite 1005, Sarraf Gentile LLP (former NY), NY 10018
    212.868.3610 212.918.7967 ·
  4. Schatz & Nobel, P.C.
    330 Main Street, Schatz & Nobel, P.C., CT 06106
    800.797.5499 860.493.6290 · sn06106@AOL.com
  5. Shalov Stone & Bonner LLP (New York)
    485 Seventh Avenue, Suite 1000, Shalov Stone & Bonner LLP (New York), NY 10018
    212.239.4340 212.239.4310 · lawyer@lawssb.com
  6. 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: S.D. New York
DOCKET #: 05-CV-7092
JUDGE: Hon. Charles L. Brieant
DATE FILED: 12/13/2005
CLASS PERIOD START: 01/14/2005
CLASS PERIOD END: 04/14/2005
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Sarraf Gentile LLP (former NY)
    485 Seventh Avenue, Suite 1005, Sarraf Gentile LLP (former NY), NY 10018
    212.868.3610 212.918.7967 ·
  2. Shalov Stone & Bonner LLP (New York)
    485 Seventh Avenue, Suite 1000, Shalov Stone & Bonner LLP (New York), NY 10018
    212.239.4340 212.239.4310 · lawyer@lawssb.com
No Document Title Filing Date