2nd Circuit Finds Channel-Stuffing Suit Fails To Allege Scheme Liability

( January 7, 2026, 9:49 AM EST) -- NEW YORK — A Second Circuit U.S. Court of Appeals panel affirmed the dismissal of a putative securities class action brought by investors alleging that an advanced driver-assistance systems technology company and its executives made misleading statements about the company’s minimum-order contracts that the investors claimed artificially inflated the price of the company’s stock; the panel found that the investors didn’t allege that material misstatements were made that would support scheme liability....