Seeing news of so many Class Action Lawsuits against STX, What will happen after?
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Settlements happen. They will issue more stock for settlements and there goes all those share buybacks.
lawsuit claims $300M plenty and audit requirement impacted stock value, let's see
Nothing will happen..we r Longmont FAANG
Dave and Seagate senior management should be thrown in jail for violating US national security. Never mind a civil lawsuit. They should be forced to rescind all bonuses, stock option and pay from the time the first drive shipped to Huawei in violation of federal regulations to do so.
certainly considerations, agree
I don't know what grounds the shareholder suits have since they obviously reaped the rewards during the Huawei sales and the stock started tanking long before the fine was published. Seems like all Seagate lawyers need to show is the stock price trending the same as WD, which leaves only the possibility the stock would have been better but that is a hypothetical, which are usually a hard sell to a judge/jury.
paying a fine is necessarily grounds for dismissal of a civil, but the courts will decide
STX should show the court that even with the fine they came out ahead and therefore the lawsuit has no merit.
courts will weigh motions to dismiss, etc. but if the plaintiffs prevail in the courts and the suit heads to trial look for a possible settlement before trial
Dave and the board could not care less. They only care about next quarter results so they can get their stock options and bonuses. Lawsuit would take years. They will be long gone by then and laughing all the way to the bank.
The legal department will avoid layoffs now. Perhaps that's factored in.
The ambulance chasers were inevitable. So inevitable, Moseley should have automatically factored for automatic lawsuits if the Govt didn't rule favorably. Unfortunately, Dave doesn't seem to think things through beyond the immediate financial returns and now we'll have more settlements and charges to the qtr, which they will take out on employees of course.