Monday, March 24, 2008

U.S. District Court OKs Settlement of iMergent Class Action Lawsuit

E-commerce software publisher iMergent Inc. revealed Monday that a U.S. District Court has approved the Orem, Utah-based company's settlement of a consolidated class action lawsuit that alleged accounting irregularities and deceptive sales practices. The U.S. District Court for the District of Utah approved the terms of a memorandum of understanding pertaining to the lawsuit on Sept. 19, 2007. The lawsuit was originally filed more than three years ago on behalf of shareholders who claimed they were duped into buying stock by iMergent's misleading statements about its prospects. The settlement, which iMergent reached without admitting liability, specifies that the company must pay class plaintiffs a total of $2.8 million. iMergent still has lawsuits pending in three other states—California, Illinois and North Carolina.