I have finally read in detail the federal court Complaint in the class action suit. If half of the plaintiff's allegations are true (and they must have good cause to believe them, in a federal pleading---I suspect they have proof for each of them, in spades), then no apology is needed from Novell management. Just give them the blindfold and call the firing squad.
If the company escapes without restating earnings for FY96, and maybe FY97, they will be lucky. It is clear from the pleading that a distributor (or several) has given plaintiffs' counsel an awful lot of information. Anyone who is a member of this class should read this Complaint carefully. It can be found and downloaded from the Milberg Weiss website. At some point, you must decide to remain in, or opt out of, this suit. You will receive plenty of notice, but you would be advised to mail the lawyers a letter, certified, with your current address, so they do not lose you over the course of the litigation.
This is not a strike suit. There were, and I believe it will eventually be shown true, serious breaches of fiduciary duty by Novell management during late 1996 and early 1997. They must be held accountable.
I know this is old news, but I have just focused in on it. This is NOT a run of the mill securities class action.....there is potential here to do more than merely embarrass a few corporate officers.
In a wonderful irony, I admit that I am a class action lawyer (not securities suits).....and a hapless shareholder, now a hapless class member, of NOVL. <G> |
