Oil Field Services Firm Fights Off Investor Suit Over Bankruptcy

Weatherford International PLC is free of a would-be class suit alleging it misled investors about its financial condition and plans ahead of a bankruptcy declaration, a federal judge in Texas said.

Investors accused the oilfield services firm of giving several false assurances about its finances despite considering bankruptcy the whole time. But the Weatherford statements they challenged aren’t actionable, and they didn’t suggest the company intentionally misled them, the U.S. District Court for the Southern District of Texas said May 14.

Most of the company statements are forward-looking and protected under the Private Securities Litigation Reform Act’s safe harbor provision, ...