|[April 25, 2014]
ATTENTION IMPAX SHAREHOLDERS: Shareholder Rights Law Firm Johnson & Weaver, LLP Announces Investigation of Impax Laboratories Following April 18, 2014 Denial of Motion to Dismiss Class Action Alleging Violations of Federal Securities Laws
SAN DIEGO --(Business Wire)--
Shareholder Rights Law Firm Johnson & Weaver, LLP is investigating
whether certain officers and directors of Impax Laboratories
(Nasdaq:IPXL) violated state or federal laws.
A class action lawsuit against the Company has been filed on behalf of
shareholders who purchased Impax stock between February 25, 2011 and
March 4, 2013 (the "Class Period"). On April 18, 2014, the Honorable
Edward M. Chen, United States District Court Judge for the Northern
District of California, denied defendants' motion to dismiss the class
The complaint alleges that, during the Class Period, Impax concealed
from shareholders: (1) the Company failed to maintain proper quality
control and manufacturing practices at its Hayward facility in violation
of current Good Manufacturing Practices; (2) the Company failed to take
proper remedial actions to correct quality control issues identified by
the FDA in prior inspections of the Hayward facility; (3) the extent of
the adverse effect that the manufacturing deficiencies at the Hayward
facility could have on the Company's ability to successfully launch its
new branded drug, RYTARY™; and (4) as a result of the foregoing, Impax
lacked a reasonable basis for its positive statements aboutthe Company
and its outlook, including statements about its ability to launch
RYTARY™ or a generic version of a drug called Concerta® in 2013. The
Court's April 18, 2014 Order denying defendants' motion to dismiss
stated that plaintiffs "alleged with sufficient particularity that the
statements identified in the [complaint] were false and misleading when
made," and that "given the importance of manufacturing and quality
control to the success of Impax and the fact that both areas of
operation had been flagged by the FDA, it is a logical, and strong,
inference that the defendants were aware of the alleged severe and
pervasive problems in Impax's Hayward facility."
Jim Baker, lead analyst at Johnson & Weaver, LLP, had this comment about
the class action lawsuit: "Officers or directors should be held liable,
rather than the Company and its shareholders, if they are found to be
responsible for the claims made in the Class Action."
If you have continuously held shares prior to February 2011 you may have
standing to hold the Company harmless from the damage the officers and
directors caused and make them personally responsible. You may also be
able to assist in reforming the Company's corporate governance to
prevent future wrongdoing.
If you are a shareholder of Impax and believe: 1) damage was caused
to the Company, and 2) officers or directors are responsible for the
damage and they should be held liable rather than the Company and its
shareholders, please contact lead analyst Jim Baker (firstname.lastname@example.org)
at 619-814-4471. If you email, please include your phone number.
Johnson & Weaver, LLP is a nationally recognized shareholder rights law
firm with offices in California and New York. The firm represents
individual and institutional investors in shareholder derivative and
securities class action lawsuits. For more information about the firm
and its attorneys, please visit http://www.johnsonandweaver.com.
Attorney advertising. Past results do not guarantee future outcomes.
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