Shareholders of NeuroMetrix Inc. (NSDQ:NURO) appealed a federal judge’s dismissal of their case to the U.S. District Court of Appeals for the First Circuit, spurning the company’s attempt to settle the case over reimbursement for its NC-Stat device for $350,000 in legal fees.
Judge Rya Zobel of the U.S. District Court for Massachusetts granted the Bedford, Mass.-based company’s motion to dismiss in December, 2009, ruling that the plaintiffs, the pension fund of the IBEW-NECA electrical workers’ union, failed to establish that NeuroMetrix and its then-management team misled investors in quarterly regulatory filings and in conference calls with analysts discussing quarterly results.