Mallinckrodt
Settlement of Strougo v. Mallinckrodt Public Limited Company, et al.
No. 3:20-cv-10100-RK (TJB)
The parties have reached a settlement of this action, which was pending in the United States District Court for the District of New Jersey. The settlement provides for the payment of $46 million for the benefit of eligible Class Members. Lead Plaintiff Canadian Elevator Industry Pension Trust Fund and named plaintiff City of Sunrise Police Officers’ Retirement Plan alleged that Defendants allegedly made false and misleading statements and/or omissions of material facts regarding, inter alia, rebates Mallinckrodt Public Limited Company (“Mallinckrodt”) owed to the U.S. government for sales of H.P. Acthar Gel to Medicaid patients during the May 3, 2016 to March 13, 2020 class period (“Class Period”). Plaintiffs alleged that these misstatements and omissions caused Mallinckrodt common stock to trade at artificially inflated prices that were publicly corrected through five distinct disclosures, which caused economic harm to Plaintiffs and the Class.
The Class consists of all Persons who purchased or otherwise acquired Mallinckrodt common stock during the Class Period, inclusive. Excluded from the Class are: (1) the Individual Defendants; (2) any directors and officers of Mallinckrodt during the Class Period and members of their immediate families and their legal representatives, heirs, successors, or assigns; and (3) any entity in which any Individual Defendant has or had a controlling interest. Also excluded from the Class is any Person who properly excluded himself, herself, itself, or themselves from the Class by submitting a valid and timely request for exclusion. To the extent any Mallinckrodt employee benefit plan receives a distribution from the Net Settlement Fund, no portion shall be allocated to any Person who is excluded from the Class by definition.
The settlement was approved by the Court on April 15, 2025.
If you have any questions about the settlement or the litigation, please contact the Shareholder Relations Department at 1-800-449-4900.
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