Grupo Televisa SAB investors who accused the media company of misleading them about its alleged role in a FIFA bribery scheme secured certification and a new class representative in New York federal district court.
A transit union pension plan suffered the greatest loss and will take on the class representative role after an earlier candidate was disqualified, Judge Louis L. Stanton of the U.S. District Court for the Southern District of New York said Monday.
Although the investors demonstrated some market impact from the bribery allegations, Stanton rejected their bid for class certification June 8 because the proposed representative wasn’t typical of the class. A “flurry of applications, arguments, propositions, and concerns” regarding the selection followed, and a quick resolution was necessary to avoid “considerable extra, unnecessary effort, argument, and waste.”
The pension plan bought its Televisa shares for $229,386.14 and sold them for $208,867.59, a greater loss than that suffered by any of the other three candidates for the class representative job, Stanton’s opinion said. Robbins Geller Rudman & Dowd LLP will serve as counsel to the now-certified class.
The only plaintiff in the suit is the class, and the class “needs only one representative,” the opinion said. Appointing two representatives “would inevitably increase the cost of administration of the action, causing duplication of effort and the increase in legal billable hours for communication, conferences, and service.”
Wachtell, Lipton, Rosen & Katz represents Televisa.
The case is In re Grupo Televisa Sec. Litig., S.D.N.Y., No. 18-cv-01979, class certified and new representative appointed 6/29/20.