A law firm representing a group of pension funds suing Mercury Interactive over its stock option backdating said it had achieved a record settlement of $117.5 million.
The firm, Labaton Subachow, said the settlement was six times the previous record of $18 million in a stock options backdating case, which happened with chip designer Rambus.
"We are satisfied that the parties have come to a fair settlement and are confident that the award will provide fair recompense to the investors who lost money as a result of Mercury's improper practices," said Joel H. Bernstein, a lawyer for the plaintiffs, in a statement. Labaton has been involved as a lead or co-lead in 29 percent of options backdating cases against companies such as Broadcom, Home Depot, American Tower and Monster Worldwide.
Hewlett-Packard acquired software developer Mercury Interactive in November for $4.5 billion. HP confirmed the settlement but provided few details. The company noted that the judge presiding over the consolidated case still needs to approve the settlement before it becomes final.
Register or login for access to this item and much more
All Accounting Today content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access