Wish this were the case but honestly, why would the government fund when the majority of any additional capital will be used to (1) fight the lawsuit and (2) pay the settlement. The company is burning through cash, the chargers are electronically challenged, the "infrastructure" honestly isnt that expansive, and there is no way to estimate how much capital will be needed to bury the lawsuit, capital which ideal would be used to solve the company's many other chronic problems ... does that sound like a scenario worth pouring another $100 mm into? Not to me, but Lord I hope I'm wrong.
The US has already committed over 100 million to ECOtality. Also, US government probably does not want to fall behind other countries in building an EV infrastruture or lose the charging station patents to China.
Alot of companies have insurance coverage so hopefully ECOtality has adequate insurance if they lose or need to settle. The class action lawsuit is only for investors who purchased in the 18 week period of April 16-August 9, 2013. It's NOT for all investors so it would be interesting to know the total cost of the shares purchased during these 18 weeks or so.
Just an interesting thought.......If perhaps the DOE does investigate and determine that Ecotality is worth of continued and/or extended funding (the govt seems to love to bail out companies, especially ones they have a vested interest in) and Ecotality announces that bankruptcy is a thing of the past, the price of ECTY will no doubt skyrocket from where it is currently, albeit probably not as high as it was in the past month due to reduced investor confidence.
Hypothetically speaking, if that were to happen, these losses that people would have incurred would be invalidated by the fact that they caused their own losses (myself included) by selling prematurely on bad news. If only they had held their shares, they wouldn't have realized such drastic losses. Depending on the skill of the lawyer, I'm sure some cases could still be made, but I would place my money on the results of the DOE (Federal) investigation holding more weight over some ruling in a state court.
Once again, this is all hypothetical, but hypothetically speaking, good news from the DOE could essentially dry up these lawsuits and place us back close to where we were.
On the other hand, a lengthy investigation could bankrupt Ecotality before this even has a chance to happen, which is a long shot at best. I would still think that many of the lawsuit should be put on hold until the DOE completes its investigation. I say should (meaning that would be fair to Ecotality and its investors), that doesn't mean that they will, or that the legal system holds the same viewpoint.
What's the saying CPA? "Expect the unexpected"
At this point all sides are valid. Speculation is worthless.
bruins: You're just the type of sucker client the ambulance chasers like. For a $500 PR they siphon off tens of thousands in new client fees for ancillary services(bruin: did I fail to mention that our trust lawyer would be happy to review your tax situation-oh wait, we need to cancel all your existing trusts and do new ones).
FYI, in 2008 I called and emailed about three of these joker law firms and NOT one of them had a clue as to actually put losses back in my pocket. They were, however, very good at asking about my assets and offered to manage them!
I agree, the government want's this infrastructure in place (charging network) and should continue with the funding especially since they have a 100 million of there money on the line.