Avon Pension Fund and others who owned News Corp stock from mid-February to mid-July 2011 charged in the class action suit that Rupert Murdoch, James Murdoch, former News Of The World editor Rebekah Brooks, and other execs at News Corp (before it split into two companies) committed fraud when the UK hacking scandal was unfolding. They told the public — including in testimony at Parliament — that it was just an isolated problem, and it wasn’t. When the widespread extent of the hacking became known in mid-2011, News Corp shares fell 17%, and it derailed the company’s plan to buy British Sky Broadcasting. But a U.S. District Court in New York dismissed the case today, Reuters reports. The problem? Judge Paul Gardephe said that the News Corp execs couldn’t be held liable for statements made before the period when the plaintiffs said that they lost money.”To hold otherwise would require adopting an ‘endless breach argument,’ which would permit plaintiffs to circumvent the well-settled rule that defendants are liable only for those statements made during the class period,” Gardephe says.
District Court Dismisses Hacking-Related Case Against News Corp.
What's Hot on Deadline
Latest Business News
- Rupert Murdoch Tweet: Sale Of Tribune, LA Times Looking Imminent
- ‘Empire’ Online Store Launched To Swag Up Your Christmas
- Viacom CEO Philippe Dauman Says Sumner Redstone “Engaged & Attentive” In Response To Lawsuit
- NY Supreme Court Postpones Decision On Plea To Bar DraftKings And FanDuel
- ‘Bones’ EP Sues Fox Over Profit Participation, Accuses Top Execs Of Cancellation Threats
- SAG-AFTRA Executive’s Daughter Returns Home Safely – Update