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Case Status:    SETTLED
On or around 11/16/2016 (Other)

Filing Date: December 07, 2012

According to the law firm press release, St. Jude manufactures and markets medical device products, including the leads that connect implantable cardiac defibrillators (ICDs) to the heart.

The complaint alleges that during the Class Period, St. Jude issued a series of misleading statements concerning an inspection by the U.S. Food and Drug Administration (FDA) of the company's Sylmar, CA production facility. In 2011, one type of ICD lead manufactured by St. Jude, known as the Riata, was recalled due to instances in which the insulation of the Riata leads had experienced so-called "inside-out" abrasion failures. In the wake of this recall, investors expressed significant interest in the performance of a next-generation ICD lead manufactured by St. Jude, known as the Durata. On October 17, 2012, on St. Jude's third quarter earnings conference call, St. Jude stated that an ongoing FDA inspection of the company's Sylmar, CA facility was likely to result in the issuance of a "Form 483," a form used by FDA investigators to note objectionable conditions or practices, and could ultimately result in the FDA issuing a Warning Letter to the company. Company officials declined to specify the nature of the problems at the facility or the products affected by them. One week later, St. Jude publicly released a heavily redacted version of the Form 483 that the company had received from the FDA. Among other information concealed were the names of any St. Jude products. Defendants knew, but failed to disclose, that most of the observations of objectionable conditions listed on the Form 483 related to the Durata product.

On November 20, 2012, after the close of the market, media outlets reported on the FDA's release of its own version of the same Form 483 issued to the Sylmar, CA facility, which showed that most of the identified problems pertained to the Durata lead. On this news, St. Jude stock fell by $4.34 or 12%, to close the next day at $31.37 on heavy volume.

On March 15, 2013, the Court appointed Första AP-Fonden and Danske Invest Management A/S (collectively the “Institutional Investor Group”) as lead plaintiffs in this action and Kessler Topaz Meltzer & Check, LLP and Motley Rice LLC were approved as Lead Counsel.

On March 10, 2014, an Order Granted In Part and Denied In Part the Defendant's Motion to Dismiss the Amended Consolidated Complaint.

On July 7, 2016, the parties filed a Stipulation of Settlement. The Settlement was preliminarily approved on July 13. The Settlement was granted final approval and this case was closed on November 9.

COMPANY INFORMATION:

Sector: Healthcare
Industry: Medical Equipment & Supplies
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: STJ2
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: D. Minnesota
DOCKET #: 12-CV-03070
JUDGE: Hon. Richard H. Kyle
DATE FILED: 12/07/2012
CLASS PERIOD START: 10/17/2012
CLASS PERIOD END: 11/20/2012
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Barrack, Rodos & Bacine (Main office, Philadelphia)
    Two Commerce Square, 2001 Market Street, Suite 3300 , Barrack, Rodos & Bacine (Main office, Philadelphia), PA 19103
    215.963.0600 215.963.0838 · info@barrack.com
  2. Chestnut & Cambronne, P.A. (Minneapolis)
    3700 Piper Jaffray Tower, 222 South Ninth Street, Chestnut & Cambronne, P.A. (Minneapolis), MN 55402
    612.339.730 612.339.730 ·
No Document Title Filing Date
COURT: D. Minnesota
DOCKET #: 12-CV-03070
JUDGE: Hon. Richard H. Kyle
DATE FILED: 10/07/2014
CLASS PERIOD START: 02/05/2010
CLASS PERIOD END: 11/20/2012
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Heins Mills & Olson PLC
    3550 IDS Center, 80 South Eighth Street, Heins Mills & Olson PLC, MN 55402
    612.338.4605 612.338.4692 · info@heinsmills.com
  2. Kessler Topaz Meltzer & Check LLP (Pennsylvania)
    280 King of Prussia Road, Kessler Topaz Meltzer & Check LLP (Pennsylvania), PA 19087
    610.667.7706 610.667.7706 · info@ktmc.com
  3. Motley Rice LLC (Mount Pleasant)
    28 Bridgeside Boulevard, Motley Rice LLC (Mount Pleasant), SC 29464
    843.216.9000 843.216.9450 · inquiry@motleyrice.com
No Document Title Filing Date