Pension Fund’s Stock-Drop Claims Against HP Not Untimely Under Merck

Mealey's (April 13, 2023, 9:05 AM EDT) -- SAN FRANCISCO — A federal district court erred in dismissing shareholder claims as time-barred in a securities class action alleging that HP Inc. and certain of its current and former senior executives issued misstatements regarding the company’s printing supplies business because, under the discovery rule set forth in Merck & Co. Inc. v. Reynolds, the lead plaintiff in the action could not have discovered the alleged fraud until the publication of a Securities and Exchange Commission order in 2020, a Ninth Circuit U.S. Court of Appeals panel ruled April 11....