Advance Auto Parts Says Errors Aren’t Fraud in Investor Appeal

Advance Auto Parts Inc. told an appellate court that it shouldn’t face revived investor proposed class action over accounting mistakes that it later fixed.

A lower court accurately concluded Advance and former executives found and fixed errors rather than intended to deceive investors about its financial state, the auto repair company told the US Court of Appeals for the Fourth Circuit Wednesday. The US District Court for the Eastern District of North Carolina conducted a holistic analysis when finding there wasn’t a strong enough inference of intent or reckless disregard and tossed the lawsuit without prejudice, Advance said in ...