Insufficient Scienter Allegations Doom Investors’ Exchange Act Claims

Mealey's (November 28, 2022, 10:33 AM EST) -- RICHMOND, Va. — A federal district court did not err in dismissing federal securities law claims brought by investors against a curriculum, administrative support and virtual learning software provider and two of its senior executives who are alleged to have misrepresented the company’s success because a majority of the defendants’ alleged misstatements were not actionable and because the shareholders failed to properly plead scienter, a Fourth Circuit U.S. Court of Appeals panel affirmed....