In re Rockwell Medical, Inc. Stockholder Derivative Litigation
Rockwell Medical Derivative Litigation
1:19-cv-02373-ARR-RER

Welcome to the Rockwell Medical Derivative Litigation Website

If you are a holder of Rockwell common stock, your rights may be affected by this Litigation and the proposed Settlement. 

What is the lawsuit about?

The Plaintiffs in the Action filed their Verified Consolidated Stockholder Derivative Complaint (the "Consolidated Complaint") on October 28, 2019. The Consolidated Complaint alleges, inter alia, that the Individual Defendants breached their duty of loyalty to the Company because they knew or were reckless in not knowing that: (i) the Centers for Medicare & Medicaid Services had already denied Rockwell’s proposal for separate reimbursement of its drug Triferic by no later than March 27, 2018, of which Rockwell was well aware; (ii) Rockwell’s estimated reserve figures were understated; (iii) the denial of separate reimbursement of Triferic has significant implications to the Company’s reserves and future projections; (iv) the Company was experiencing known but undisclosed deficiencies in its internal controls; and (v) as a result, Rockwell’s representations concerning the effectiveness of its internal controls and certifications pursuant to the Sarbanes-Oxley Act of 2002 were improper. The Defendants deny that they violated any law and deny each and every claim alleged in the Litigation. The Defendants are entering into the Settlement to eliminate the uncertainty, burden, and expense of further protracted litigation. 

What are the Settlement terms?

Under the terms of the Stipulation, Rockwell's board of directors (the "Board") agrees to implement within ninety (90) days of final settlement approval, and to maintain for a minimum period of four (4) years, the corporate governance reforms described in the Stipulation (the "Reforms"). Please note that there is no claims process and no individual stockholder has the right to be compensated as a result of the Settlement. You can read the Stipulation here.

Who is Included?

The Settlement includes:

All persons or entities who currently hold shares of stock of Rockwell Medical, Inc. ("Rockwell" or the "Company"), either of record or beneficially, excluding Defendants and any person, firm, trust, corporation or other entity related to, or affiliated with, any of the Defendants.

YOUR LEGAL RIGHTS AND OPTIONS IN THIS SETTLEMENT

For more detailed information about your legal rights and options, please read the Stipulation and Notice of Pendency and Proposed Settlement of Derivative Action ("Notice") carefully.

Option
Event
Object
July 28, 2020

If you are a holder of Rockwell stock and would like to object to the Settlement (and/or the Judgment to be entered in the Litigation, Plaintiffs' Counsel's attorneys' fees and expenses, or incentive awards for Plaintiffs), you may appear in person or by counsel at the Settlement Hearing and request leave of the Court to present evidence or argument that may be proper and relevant. The objection must be filed with the Court (with timely copies served to counsel listed in the Notice) no later than (14) calendar days prior to the Settlement Hearing. For more information, please see "VIII. Right to Appear and Object" in the Notice.

Attend the Settlement Hearing
August 11, 2020, at 10:30 a.m

If you are a holder of Rockwell stock, you have a right to participate in a hearing to be held on August 11, 2020, at 10:30 a.m., before the Court at 225 Cadman Plaza East, Brooklyn, NY, Courtroom N2E to (a) determine whether the Settlement should be approved by the Court as adequate, fair, and reasonable; (b) determine whether Judgment should be entered pursuant to the Stipulation; (c) consider Plaintiffs' Counsel's attorneys' fees and expenses and incentive awards for Plaintiffs; and (d) rule on such other matters as the Court may deem appropriate.

 

For More Information

Visit this website often to get the most up-to-date information.

Mail

Rockwell Medical Derivative Litigation
c/o JND Legal Administration
PO Box 91350
Seattle, WA 98111