The lights are on
A third law firm is in the process of seeking certification as a class on behalf of EA investors. Bower Piven has filed in US District Court (Northern California) and is seeking a lead plaintiff with common stock losses greater than $200,000.
Bower Piven cites the same reasons as the first and second firms seeking certification. Particularly, the revelation on November 15 that Battlefield 4 was having significant issues on PlayStation 4, and the announcement that EA put DICE’s future projects on hold as of December 4.
The complaint alleges that EA officers and directors violated the Securities Exchange Act by failing to disclose bugs, glitches, and connectivity issues with Battlefield 4. Again, it’s important to note that this is not a suit focused on consumers. This is exclusively about investors who purchased common stock between July 24, 2013, and December 4, 2013.
[Source: GlobeNewsWire via GameRanx]
Our TakeIt’s unsurprising to see so many of these photocopied lawsuits popping up. The law firms have a lot to gain by being the first to have a lead plaintiff and a certified class, and I wouldn’t be at all shocked to see more of these emerge over the coming weeks.
EA certainly has a lot to answer for with regard to Battlefield 4, especially with new reports emerging about DLC not carrying over across platforms in the same family (PS3/PS4 and Xbox 360/Xbox One). Whether this angle is appropriate, especially with many variables affecting share value, is something for the courts to decide.