Founded in 1931, The Capital Group Companies, Inc. is one of the oldest investment management companies in the world.
Originally filed on July 15, 2004, related cases were consolidated and a consolidated Complaint was first filed on March 28, 2005. The Complaints allege that Defendants engaged in an illegal kickback scheme with several brokers/dealers financed by fees and costs paid by Plaintiffs and other class members who purchased American Funds mutual funds. The named funds filed a motion to dismiss on May 27, 2005 and the named individuals filed their respective motion on May 31. On December 6, 2005 the judge entered an order dismissing certain aspects of the Complaint, including all named director Defendants, specific claims and the named funds of which Plaintiffs had no ownership. The Plaintiffs were given leave to amend their Complaint, which they did and re-filed a Second Consolidated Complaint on February 16, 2006. Again the various funds and individuals filed motions to dismiss on April 28, 2006. Discovery was stayed while both sides argued the matter of dismissal. An order was finally entered on January 17, 2007 dismissing the Section 48(a) claim in addition to the Section 1 of the Sherman Act and the Cartwright Act claims. Plaintiffs filed a Third Consolidated Complaint on January 30, 2007. Plaintiffs filed a Fourth Amended Complaint on May 16, 2008. The parties soon after engaged in discovery and preliminary trial proceedings. On July 28, 2009, the first day of court trial was held before Judge Gary A. Feess.
According to the Judgment After Court Trial entered on January 13, 2010, Judgment is entered for the Defendants. Plaintiffs take nothing on their claims against Defendants; and Defendants are the prevailing parties and recover from Plaintiffs the costs of suit in an amount to be taxed by the Clerk. The case has been terminated.
On February 11, 2010, the Plaintiff filed a Notice of Appeal. On September 20, 2011, the Court entered Mandate from the Ninth Circuit Court of Appeals, affirming the Judgment of the District Court.
