In the securities litigation against major retailer, Aeropostale, Inc., and certain individual defendants, the United States District Court for the Southern District of New York finally approved a settlement of $15 million in cash. The settlement is an excellent result given the numerous and substantial risks faced in this litigation. The case settled after extensive discovery conducted during an expedited and compressed discovery timeline.
The case involved allegations of misstatements and omissions during the class period regarding Aeropostale's quarterly earnings guidance and inventory management. The Complaint further alleged that lead plaintiff and other class members purchased or otherwise acquired Aeropostale common stock during the class period at artificially inflated prices and were damaged as a result.
Labaton Keller Sucharow is the court-appointed lead counsel for lead plaintiff, the City of Providence, and the class in the certified class action The City of Providence v. Aeropostale, Inc. et al., 1:11-cv-07132-CM-GWG (S.D.N.Y.).
Settlement Hearing
A settlement hearing was held on May 9, 2014 at 10:00 am before the Honorable Colleen McMahon at the Daniel Patrick Moynihan United States Courthouse, 500 Pearl St., New York, NY 10007-1312.
The deadline for objecting to the settlement or seeking exclusion from the class has passed.
On June 6, 2014, a Notice of Appeal was filed. Following briefing on the appeal, on June 10, 2015, the Court of Appeals for the Second Circuit affirmed the district court's orders approving the settlement and approving lead counsels motion for attorneys' fees and expenses.
Copies of relevant documents can be accessed by clicking on the links to the right.
