Press Release: Research In Motion Says Purported Class Action Lawsuit is Without Merit
Following up on the news earlier this week that Research In Motion is under investigation for possible federal securities law violations, RIM fired off a press release this morning saying the purported class action lawsuit is without merit:
WATERLOO, ONTARIO--(Marketwire - May 27, 2011) - Research In Motion Limited ("RIM") (NASDAQ:RIMM)(TSX:RIM) today confirmed it intends to vigorously defend against a purported class action lawsuit filed against the Company and certain of its officers in the United States District Court for the Southern District of New York. The lawsuit alleges that during the period from December 16, 2010 through April 28, 2011, the Company and certain of its officers made materially false and misleading statements regarding the Company's financial condition and business prospects, and seeks unspecified damages on behalf of an alleged class of purchasers of the Company's common shares during this period. RIM believes that the allegations are without merit.
The investigative and potential class action lawsuit efforts here are being conducted by law firm Holzer Holzer & Fistel who have a history in this sort of racket (they went after Palm too prior to them being acquired by HP). Personally having listened to all the investor calls and keeping pretty close tabs on the state of BlackBerry, I think this is a bunch of BS. But I'm sure for people who took a bit hit on the stock they'll see it the other way. It'll be interesting to see how this one plays out.
In the meantime, since it's Friday and I dislike having to post on this kind of BlackBerry hateration on the blogs, check out the video above from the I Love My BlackBerry contest we ran a while back to brighten things up. This one is called Scent of a BlackBerry, which shows just how far some people will go for their beloved smartphone.