Verrica Pharmaceuticals Inc. investors can proceed as a class in their suit over allegedly concealed ongoing drug production problems that delayed FDA approval, a federal court ruled.
The Food and Drug Administration’s May 2022 letter saying it couldn’t yet approve the skin treatment allegedly surprised the market and caused a 64% stock drop.
The investor leading the suit showed he’s entitled to a presumption that all the shareholders in the proposed class relied on the alleged misrepresentations, Judge Kai N. Scott said in an opinion docketed Thursday in the US District Court for the Eastern District of Pennsylvania.
The FDA ...
Learn more about Bloomberg Law or Log In to keep reading:
See Breaking News in Context
Bloomberg Law provides trusted coverage of current events enhanced with legal analysis.
Already a subscriber?
Log in to keep reading or access research tools and resources.