Zaidi v. Adamas Pharmaceuticals, Inc.

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 ALI ZAIDI, et al., Case No. 19-cv-08051-JSW 8 Plaintiffs, ORDER DISMISSING SECTION 20(A) 9 V. CLAIM 10 ADAMAS PHARMACEUTICALS, INC., et al., Defendants.

E 13 In the parties’ joint case management conference statement, Defendant Richard King 14 || raised an issue of whether he can be held liable under Section 20(a). The Court has reviewed its 3 15 || Order granting, in part, and denying, in part, Defendants’ motion to dismiss. In order to state a 16 || claim under Section 20(a), a plaintiff must prove “(1) a primary violation of federal securities laws i 17 ...5 and (2) that the defendant exercised actual power or control over the primary violator.” Z 18 || Howard v. Everex Systs., Inc., 228 F.3d 1057, 1065 (9th Cir. 2000) (emphasis added). Based on 19 || the Court’s ruling, King is the only defendant alleged to have committed a primary violation of 20 || Section 10(b). The Court should have, and now does, dismiss Plaintiffs’ claims for alleged 21 || violations of Section 20(a). 22 IT ISSO ORDERED. 7) 23 || Dated: March 28, 2023 ( / / 4h 24 KY 5 JEBFREY ff. Ga 25 Unitéd Si/les Distrif/ Judge 26 27 28