Cedar Realty Stockholder Would-Be Class Suit Back in State Court

Real estate company, Cedar Realty Trust Inc., will have to fight off a proposed class action in New York state court, after the Eastern District of New York ruled Monday it lacked jurisdiction.

Cedar allegedly angered its preferred shareholders by selling off its portfolio and merging with Wheeler Real Estate Investment Trust Inc., to the arguable benefit of common stockholders. Cedar removed the case invoking diversity jurisdiction, but the preferred shareholders argued that the case falls under an exemption of the Class Action Fairness Act of 2005.

• The US District Court for the Eastern District of New York ...