Ex-Ascena Retail Execs Beat Ann Taylor Acquisition Suit For Now

Two former Ascena Retail Group Inc. executives beat accusations of making misleading statements following the acquisition of Ann Taylor’s parent company, but a federal judge in New Jersey gave investors permission to fix up their complaint and try again.

Investor claims against ex-CEO David Jaffe and former chief financial officer Robert Giammatteo had survived after the clothing retailer declared bankruptcy in 2020, but the would-be class complaint fell short of alleging the Ascena executives made false statements with the required mental state, the US District Court for the District of New Jersey said, dismissing the case with leave to amend. ...