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Case Status:    SETTLED
On or around 07/31/2019 (Settlement preliminarily approval)

Filing Date: August 24, 2018

Plaintiff's law firm issued a press release on August 27, 2018. According to the press release, Lannett develops, manufactures, packages, markets, and distributes solid oral (tablets and capsules), extended release, topical, and oral solution finished dosage forms of drugs that address a wide range of therapeutic areas. Lannett also produces, through its subsidiary Cody Laboratories, Inc., active pharmaceutical ingredients. Lannett derives the majority of its revenue from the sale of drugs that are bioequivalent to certain patented drugs once their patent expires.

At all relevant times, Lannett has had an exclusivity agreement with its primary supplier, Jerome Stevens Pharmaceuticals ("JSP"), set to expire on March 23, 2019. JSP's products have historically accounted for at least one-third of Lannett's sales.

The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Defendants failed to disclose that: (i) Lannett faced a substantial risk of the loss of its exclusivity agreement with JSP; (ii) accordingly, Lannett's reported revenues were unsustainable, and (iii) as a result, Lannett's public statements were materially false and misleading at all relevant times.

On November 30, 2018, the Court issued an Order appointing Lead Plaintiffs and Counsel. Lead Plaintiffs filed an amended Complaint on December 19. Lead Plaintiffs re-filed the amended Complaint on December 26. Defendants filed a Motion to Dismiss the amended Complaint on January 15, 2019. On March 13, the Court issued an Order granting in part and denying in part Defendants' Motion to Dismiss.

On July 12, 2019, the parties entered into a Stipulation of Settlement. The Court granted preliminary approval of the Settlement on July 31.

COMPANY INFORMATION:

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

SECURITIES INFORMATION:

Ticker Symbol: LCI
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: E.D. Pennsylvania
DOCKET #: 18-CV-03635
JUDGE: Hon. Mark A. Kearney
DATE FILED: 08/24/2018
CLASS PERIOD START: 02/07/2018
CLASS PERIOD END: 08/17/2018
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Kaskela Law LLC
  2. Pomerantz LLP (New York)
No Document Title Filing Date
COURT: E.D. Pennsylvania
DOCKET #: 18-CV-03635
JUDGE: Hon. Mark A. Kearney
DATE FILED: 12/26/2018
CLASS PERIOD START: 02/08/2018
CLASS PERIOD END: 08/17/2018
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Levi & Korsinsky LLP (DC)
    1101 30th Street, NW; Suite 115, Levi & Korsinsky LLP (DC), DC 20007
    ·
  2. O'Kelly Ernst & Joyce, LLC
    901 N. Market Street, Suite 1000, O'Kelly Ernst & Joyce, LLC, DE
    ·
No Document Title Filing Date
—Related District Court Filings Data is not available