Okta Investors Get Rare Agreed-to Class Status in Stock Suit (1)

A shareholder suit against Okta Inc. over post-merger statements about sales will proceed as a class action after the software company agreed to litigate the case collectively, raising the possibility that other securities litigation may follow same path.

Okta didn’t oppose the class certification request. That defense choice is unusual for a securities case, but has become more common in litigation over employee 401(k) plans, attorneys say.

Judge Susan Illston of the US District Court for the Northern District of California granted the request Monday and appointed the plaintiffs, two state funds that invested in Okta, as the class representatives. ...