Boeing class-action lawyers slammed by judge

In a rare move, a US judge has ordered securities class-action law firm Robbins Geller Rudman & Dowd to pay sanctions to Boeing over a lawsuit which the firm filed against the company.

PLRANG

The judge told the firm to pay Boeing's legal fees as well as other costs following the case. The law firm had filed a securities fraud lawsuit accusing Boeing of withholding information about delays in producing the 787 Dreamliner, a move which saw the company's share price fall. The firm based the case on a confidential witness who allegedly had the inside story on the delays. However, the witness, whom it transpired had neither worked on the Dreamliner or was a full time employee at Boeing, later denied many of the statements attributed to him. In 2011, Judge Suzanne Conlon called the Boeing complaint 'at best unreliable and at worst fraudulent' whilst a later hearing saw Judge Richard Prosner remand the case to district court to impose sanctions on the law firm and which Judge Castillo has now done. 

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