Federal court denies Allergan bid to speed insider trading suit
A federal judge in California on Thursday denied a request by Allergan Inc to expedite its civil suit claiming that Valeant Pharmaceuticals International Inc and Pershing Square Capital Management engaged in insider trading ahead of their bid to buy Allergan.
According to Judge David Carter, the U.S. District Court for the Central District of California “would be reluctant to create a precedent that allows corporations to demand at will the immediate attention and input of the federal courts in order to resolve intra-corporate disputes that might be better left to the dynamic free market or to the state court.”
“We are pleased that this attempt by Allergan in the California litigation to delay the special meeting was not successful,” Valeant said in statement on Thursday.
Allergan, in a separate statement, said it intends to proceed along the path outlined by the court for a quick resolution once Pershing Square delivers requests for the special meeting.
Source: Reuters
