Lawsuit Overview
Settlement Overview
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July 13, 2012 - The court approved the settlement and dismissed the action with prejudice.
July 12, 2012 - The court entered the orders approving the plan of allocation and the motion for attorneys’ fees and expenses.
March 22, 2012 - The court preliminarily approved the settlement.
March 16, 2012 - Parties filed a stipulation of settlement.
March 8, 2011 - The court denied the defendants' motion to dismiss in part as to Count I and II and granted in part the remaining challenged statements in the complaint.
June 11, 2010 - The defendants filed a motion to dismiss.
May 14, 2010 - The lead plaintiff filed a second amended complaint.
May 12, 2010 - The court granted the lead plaintiff's motion for reconsideration and leave to amend the complaint.
May 3, 2010 - The lead plaintiff filed a motion for reconsideration of the April 13, 2010 order and a motion for leave to file an amended complaint.
April 13, 2010 - The court granted the defendants' motion to dismiss.
January 11, 2010 - The defendants filed a motion to dismiss.
November 25, 2009 - The lead plaintiff filed an amended complaint.
October 13, 2009 - The lead plaintiff and lead counsel were appointed.
October 5, 2009 - A lead plaintiff motion was filed.
August 4, 2009 - An investor in shares of Allscripts Healthcare Solutions Inc (NYSE: MDRX now trading on the NASDAQ sheets as MDRX) filed a lawsuit the U.S. District Court for the Northern District of Illinois against Allscripts Healthcare Solutions Inc over alleged violations of Federal Securities Laws between May 8, 2007 to February 13, 2008.
According to the complaint the plaintiff alleges that Allscripts Healthcare Solutions Incand certain of its officers and directors violated the Securities Exchange Act of 1934 by issuing between May 8, 2007 and February 13, 2008 materially false and misleading statements regarding Allscripts Healthcare Solutions Inc’s business prospects. According to the complaint, during May 2007, Allscripts Healthcare Solutions Inc went live” with the newest version of its EHR clinical software, Touchworks, version 11 ( V-11”).
Among other things, the complaint further alleges that Allscripts Healthcare Solutions Inc lacked the necessary resources to install V-11 software at customer sites, that Allscripts Healthcare Solutions Inc had no historical basis to estimate the completion of V-11 or the impact V-11 sales might have on its 2007 revenues and earnings, and that Allscripts Healthcare Solutions Inc was currently experiencing adverse and continuing delays in the installation of V-11 software systems. Then on February 13, 2008,Allscripts Healthcare Solutions Inc released its actual 2007 financial results, reporting 2007 revenue of $281.9 million or $18 million below its $300 million guidance confirmed in August 2007 and $5 million short of their November earnings guidance revision. During a conference call with investors that same day, so the complaint, Allscripts Healthcare Solutions Inc finally admitted to V-11 installation delays that were likely to negatively impact sales and earnings well into 2008. The plaintiff alleges that in response to those announcements, the price of Allscripts Healthcare Solutions Inc common shares (NYSE: MDRX) fell $4.12 per share, closing at $11.27 on February 14, 2008.
Allscripts Healthcare Solutions Inc, located in Chicago, IL, is a provider of clinical software, services, information and connectivity solutions used by the physicians and other health care providers. Allscripts Healthcare Solutions Inc reported in 2007 Total Revenue of $383.77million with a Net Income of $25.40million and in 2008 Total Revenue of $548.40million with a Net Income of $26.00million. Shares of Allscripts Healthcare Solutions Inc (NASDAQ: MDRX) traded at $1742 per share recently and were down from over $30 per share in 2007.