iRobot Defeats Investor Claims It Minimized Vacuum Competition

iRobot Corp. is free of a would-be class suit accusing it of misleading investors about increased competition in the robot vacuum market after a federal judge in Massachusetts found the complaint’s allegations lacking.

The investors didn’t adequately allege the robotics company’s statements were false or misleading, and the complaint didn’t raise a strong inference that iRobot acted with the required state of mind, the U.S. District Court for the District of Massachusetts said.

Investors challenged a range of iRobot statements on consumer demand, market share, and competition. Without alleging that the company’s statements about past demand were false or ...