Guidant shareholder suit dismissed
This article was originally published in The Gray Sheet
Executive Summary
United States District Court in Indianapolis dismisses March 27 a shareholder class action suit against cardiac device maker Guidant alleging breach of fiduciary duties and failure to disclose material information prior to a series of merger negotiations that culminated in Guidant's acquisition by Boston Scientific in 2006. What the plaintiffs called a "bidding fiasco" took place amid high-profile recalls of certain Guidant pacemakers and implantable defibrillators (1"The Gray Sheet" July 24, 2006, p. 10). District Judge Sarah Evans Barker, who issued the ruling, also dismissed in February securities class action proceedings against the company. Plaintiffs in both actions retain the right to appeal