The information contained on this web page is only a summary of information presented in more detail in the Notice of (I) Pendency of Class Action and Proposed Settlement; (II) Settlement Fairness Hearing; and (III) Motion for an Award of Attorneys’ Fees and Reimbursement of Litigation Expenses (the “Notice”), which you can access by clicking here. Since this website is just a summary, you should review the Notice for additional information.
If you are a Settlement Class Member, your legal rights will be affected by this Settlement whether you act or do not act.
Please read the Notice carefully
IF YOU PURCHASED OR OTHERWISE ACQUIRED STRAIGHT PATH COMMON STOCK FROM AUGUST 1, 2013 TO JULY 22, 2016, INCLUSIVE (THE “SETTLEMENT CLASS PERIOD”) AND WERE DAMAGED THEREBY, YOU MAY BE ENTITLED TO A PAYMENT FROM A CLASS ACTION SETTLEMENT.
| IMPORTANT DATES AND DEADLINES |
| SUBMIT A CLAIM FORM POSTMARKED
NO LATER THAN AUGUST 2, 2018. | Deadline has passed. |
| EXCLUDE YOURSELF FROM THE SETTLEMENT NO LATER THAN AUGUST 17, 2018. | Deadline has passed. |
| OBJECT TO THE SETTLEMENT NO LATER THAN AUGUST 17, 2018. | Deadline has passed. |
| DO NOTHING | Get no payment. Remain a Settlement Class Member. |
The Settlement Hearing
On September 7, 2018, the Court held a hearing to consider final approval of the Settlement and related matters and entered an Order and Final Judgment approving the Settlement as fair, reasonable and adequate, entered an order approving the Plan of Allocation for the proceeds of the Settlement, and entered an order awarding attorneys’ fees and reimbursement of litigation expenses.
What is this case about?
Straight Path Communications, Inc., together with its subsidiaries, holds, leases, and markets commercial fixed and mobile wireless spectrum licenses in the United States.
On November 13, 2015, a putative class action was filed in the United States District Court for the District of New Jersey (the “Court”) alleging violations of federal securities laws. By Order dated April 11, 2016, the Court appointed Charles Frischer as Lead Plaintiff, and approved Lead Plaintiff’s selection of Glancy Prongay & Murray LLP as Lead Counsel and Schnader Harrison Segal & Lewis LLP as Liaison Counsel for the putative class.
On June 17, 2016, Lead Plaintiff filed and served the First Amended Class Action Complaint (the “Complaint”) asserting putative class action claims against all Defendants under Section 10(b) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Rule 10b-5 promulgated thereunder, and against the Individual Defendants under Section 20(a) of the Exchange Act. Among other things, the Complaint alleged that Defendants made materially false and misleading statements and omissions concerning: (i) the commercial viability of Straight Path’s spectrum Licenses, issued by the Federal Communications Commission (“FCC”), for the deployment of next-generation 5G technologies; and (ii) Straight Path’s compliance with the FCC’s requirements for license renewal and the provision of substantial service, including that the lack of regulatory compliance potentially subjected Straight Path’s spectrum Licenses to forfeiture or termination. The Complaint further alleged that when the market learned of Defendants’ misrepresentations and omissions, the price of Straight Path common stock fell, causing damage to purchasers of Straight Path common stock during the Settlement Class Period. Defendants moved to dismiss the Complaint, and Lead Plaintiff opposed.
While the motion to dismiss was pending, the parties agreed to engage in settlement discussions and retained former United States District Court Judge Layne R. Phillips to serve as the mediator. Following a full-day mediation session with Judge Phillips, the parties reached the proposed Settlement described below.
The Settlement Benefits
The Settlement provides $9,450,000 in cash (the “Settlement Amount”) for the benefit of the Settlement Class. The Settlement Class, subject to some exclusions, consists of all persons and entities who or which purchased or otherwise acquired Straight Path common stock from August 1, 2013 to July 22, 2016, inclusive, and were damaged thereby. The Settlement Amount plus any interest earned thereon is referred to as the “Settlement Fund.” The “Net Settlement Fund” (that is, the Settlement Fund less (a) all federal, state and/or local taxes on any income earned by the Settlement Fund and the reasonable costs incurred in connection with determining the amount of and paying taxes owed by the Settlement Fund (including reasonable expenses of tax attorneys and accountants); (b) the costs and expenses incurred in connection with providing notice to Settlement Class Members and administering the Settlement on behalf of Settlement Class Members; and (c) any attorneys’ fees and Litigation Expenses awarded by the Court) will be distributed to Settlement Class Members who submit valid Claim Forms, in accordance with the approved Plan of Allocation.
Further Information:
This website and the Notice summarizes the Settlement. For more details regarding this Settlement please reference the Settlement Agreement, or other documents filed in the case under the “Court Documents” link on the left. You may also contact the Claims Administrator or Lead Counsel for further information regarding this Settlement:
Claims Administrator:
Straight Path Class Action Litigation
c/o A.B. Data, Ltd.
PO Box 170400
Milwaukee, WI 53217
866-540-4948
info@StraightPathSecuritiesLitigation.com
Lead Counsel:
Kara M. Wolke, Esq.
GLANCY PRONGAY & MURRAY LLP
1925 Century Park East, Suite 2100
Los Angeles, CA 90067
(310) 201-9150
info@glancylaw.com
If you have questions, you may call the Straight Path Securities Litigation Help Line at 866-540-4948 or email info@StraightPathSecuritiesLitigation.com.