Lightinthebox Holding Co Ltd (NYSE:LITB) ($6.17) – a global online retail company that delivers products directly to consumers around the world. The company settled a class action lawsuit:
As previously disclosed, on August 27, 2013, the Company was named as a defendant in the first of three putative shareholder class action lawsuits filed in the United States District Court for the Southern District of New York. These three actions were consolidated under the master caption In re LightInTheBox Holding Co., Ltd. Securities Litigation, No. 13-cv-6016-VEC (S.D.N.Y.). On May 1, 2014, the Company filed a motion to dismiss the second amended consolidated complaint for failure to state a claim as a matter of law.
The parties have entered into the settlement prior to a decision on the Company’s motion to dismiss. According to the settlement, which remains subject to preliminary and final court approval, the Company and its insurers have agreed to contribute US$1.55 million to a settlement fund payable to certain purchasers of the American depositary shares between June 6, 2013 and August 19, 2013. In return, the lead plaintiff has agreed to dismiss all claims against the Company and all of the individual defendants. Following final approval of the settlement by the Court, the case will not be allowed to be refiled.