NextEra Investors Get ‘Ghost Candidate’ Stock Suit Revived (1)

NextEra Energy Inc. investors adequately pleaded that company disclosures about business risks from previously denied alleged political meddling caused their losses in the stock routs that followed, the Eleventh Circuit ruled Wednesday.

“Where a court is presented with well-pleaded facts that the investing public related the corrective disclosure to the earlier misinformation, it is improper for such court to substitute its own opinion on the matter,” the US Court of Appeals for the Eleventh Circuit said.

Shareholders alleged that NextEra’s subsidiary Florida Power & Light engaged in “political misconduct,” secretly channeling funds to straw candidates in local elections to siphon ...