Mobileye Investors Fail to Reopen Inventory Lawsuit on Appeal

Mobileye Global Inc. overcameinvestor allegations the driver-assist chip maker misled them over its practice of sending inventory to customers, an appellate court ruled Tuesday.

Mobileye long disclosed certain customers were subject to minimum commitment contracts, and that clients were expected to use their own accrued inventory before buying more at some point, the US Court of Appeals for the Second Circuit said in affirming dismissal of the proposed class action.

There’s no allegation fluctuations regarding quarterly orders weren’t true, nor did investors identify omitted facts rendering statements misleading, for securities fraud claims, its summary order said.

And the shareholders didn’t ...