U.S. Markets closed

Mecox Lane announces dismissal of class action lawsuit

Mecox Lane announced that the previous judgment of the United States District Court for the Southern District of New York to dismiss a class action lawsuit filed against the company and several of its officers and directors was affirmed by the United States Court of Appeals for the Second Circuit. On November 29, in the case of Westend Group v. Mecox Lane Limited, et al., No. 12-1326-cv, the Court of Appeals affirmed, by a summary order of a three-judge panel, Mecox Lane's victory in District Court, where the plaintiff's claims under Section 11 of the Securities Act, along with derivative claims under Section 15 of the Securities Act, were dismissed without prejudice. The Court of Appeals held, as the District Court had previously held, that the plaintiff had failed to state a Section 11 claim upon which relief could be granted. The company is allowed to file a record of all allowable costs incurred to be paid by plaintiff. The company intends to do so.