United States Appeals Court Dismisses PMI Shareholder Lawsuit

Regulations by 2FIRSTS.ai
Dec.28.2023
United States Appeals Court Dismisses PMI Shareholder Lawsuit
U.S. appeals court rejects securities fraud class-action lawsuit against Philip Morris International over IQOS clinical research and sales projections.

According to a Bloomberg report on December 27, the US Appeals Court dismissed the securities fraud class-action lawsuit filed against Philip Morris International (PMI) by shareholders on December 26.

 

Investors' collective lawsuit against PMI primarily includes the following aspects:

 

Firstly, investors have doubts about the clinical research methods and results submitted by PMI to the US FDA regarding IQOS. They consider the company's claims regarding the research on IQOS, such as being "rigorous," "the best science," and "highly advanced," to be false representations.

 

Secondly, investors have expressed doubts about the statement regarding the projected sales of IQOS in Japan by PMI.

 

In the end, US Appeals Court rejects investors' concerns over the clinical research methods and results of IQOS, while also ruling that optimistic statements regarding Japanese sales performance are allowed as forward-looking statements.

 

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