I got a letter in the mail today that concerned me for a second. You never like to see letters from attorneys in your mailbox. I felt a little better after I opened it and saw I wasn't the defendant. However, American Express was listed. This is Gainy & McKenna out of New York City (known for their class action work) and they are filing pretty much the same suit that the firm out in California filed. This one is much better written than the other one. I used to write these things and they aren't exactly easy, but that California complaint looks like it was written by a first year law student. This one is much more professional and much shorter. It is only two pages instead of thirty something. I don't need the whole history of the company before you get to the point in a lawsuit. sheesh... lol Some of this complaint reads the same, but it is so much shorter that it just looks more professional.
My wife and kids are in California and I don't have much to do right now, so I thought I'd type a few sections of the complaint in here since I can't find it anywhere online. Count 1
During the Class Period, defendants carried out a plan, scheme and course of conduct which was intended to and, throughout the Class Period, did deceive the investing public, including plaintiff and other Class members, as alleged in this Complaint and caused plaintiff and other members of the Class to purchase American Express stock at artificially inflated prices. in furtherance of this unlawful scheme and course of conduct, defendants, and each of them, took the actions set forth in this Complaint.
Defendants employed devices, schemes, and artifices to defraud; made untrue statements of material fact and/or omitted to state material facts necessary to make the statements made not misleading; and engaged in acts, practices, and a course of business which operated as a fraud and deceit upon the purchasers of the Company's common stock in an effort to maintain artificially high market prices for American Express stock in violation of section 10(b) of the 1934 Act and Rule 10b-5. All defendants are sued as primary participants in the wrongful and illegal conduct and fraudulent scheme and course of business charged in this Complaint.
here's the good part....As a result of the dissemination of the materially false and misleading information and failure to disclose material facts, as set forth above, the market price of American express stock was artificially inflated during the Class Period. Relying directly or indirectly on the false and misleading statements made by defendants or upon the integrity of the market in American Express stock, plaintiff and the other members of the Class purchased American Express stock during the Class Period at artificially high prices and were damaged thereby.
Count 2 is pretty much the meat of the other lawsuit. The differences between the two are few, but this new one is much more clear in what they are alleging.
I honestly don't know why they sent this to me. I'm an employee of American Express, so I guess that could be why. I have two American Express cards as well, but I don't think that would qualify me to receive this. I wonder if every employee is going to get one of these... We never did hear anything from corporate about the suit that was filed last week, but I gave it to my director to follow up on. Now that this one has also been filed, I would expect to hear something about it. What I'm really shocked about is that this information is nowhere to be found on the internet yet. I live in Utah and that is pretty far from New York. Surely there are other people who got this letter yesterday or the day before. It was dated the 24th, so why haven't more people heard about it? I'll keep you all posted. This seems like a great forum to get answers and find good stuff like this, so I figure I'll just add to the pile.