SunPower Executives Trim Investor Suit to Sufficient Cash Claim

SunPower Corp. leadership must defend against a claim they misled investors in a 2023 SEC filing saying the solar company could meet its cash obligations, a federal judge ruled.

But investors didn’t sufficiently allege other claims over SunPower’s accounting and financial woes ahead of it filing for bankruptcy last year, Judge Rita F. Lin for the US District Court for the Northern District of California said Thursday. She granted in part and denied in part former executives’ motion to dismiss, allowing plaintiffs leave to amend the tossed claims.

“The Complaint plausibly alleges that by August 2023, SunPower was in ...