Split 9th Circuit Panel Finds Some Of Company’s Misstatements Are Actionable

Mealey's (March 21, 2023, 2:34 PM EDT) -- SAN FRANCISCO — A divided Ninth Circuit U.S. Court of Appeals panel ruled that while a federal district court erred in concluding that shareholders failed to sufficiently plead the requisite falsity and scienter as to some alleged misstatements made by a cybersecurity services provider and two of its senior executives in concealing that the company would not be able to meet its revenue expectations, certain of the statements were forward-looking and protected by a safe harbor provision....