Monday, November 06, 2006

No Discovery Yet in Discovery Labs Class Action

Today Discovery Laboratories, Inc. (NASDAQ: DSCO) announced the dismissal, without prejudice, of the securities class action pending against the company and two of its executive officers in the United States District Court for the Eastern District of Pennsylvania.

The "Mizla Group" (Joseph, Denise, Alan, Erin and Julia Mizla) was appointed as the lead plaintiff and Chimicles & Tikellis LLP was appointed as lead counsel in the securities class action.

A copy of the consolidated amended complaint is available here.

The decision is not yet available online, but will be posted here when it is.

A pair of derivative actions remain pending in the Eastern District of Pennsylvania against the company and certain current and former officers and directors of the company. According to this 10-Q:
The parties have entered into a stipulation providing that the Company is not required to respond to these consolidated complaints until 60 days following defendants' answer or a dispositive ruling on a motion to dismiss filed in response to the consolidated amended complaint in the class actions.
Daily Trivia: Five Chimicles & Tikellis lawyers were named to the list of Pennsylvania Super Lawyers. Distributed by the publishers of Law & Politics and Philadelphia Magazine, the list is a cousin to the New Jersey Super Lawyers list that New Jersey's Committee on Attorney Advertising ruled violates state rules of professional conduct. The WSJ Law Blog has a post on the New Jersey decision here.

In response to the New Jersey decision, the Super Lawyers publishers have created a website,, whose tagline is Setting the Record Straight: The Truth About Legal Marketing in New Jersey. It may remind readers of, the website created by Milberg Weiss Bershad & Schulman LLP to respond publicly to the firm's indictment.

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