The UK based company Laidlaw and Company LTD is facing some serious legal trouble as a U.S. Federal Court has issued a temporary restraining order and associated injunction against the company and its principles. The reason for this legal move is because it is asserted that the company spread “false and misleading” information about another company Relmada Therapeutics in an attempt to take that company over.
Relmada Therapeutics has already filed a lawsuit against Laidlaw regarding the information they claim was spread about them. The Court has stepped it in to try to protect the shareholders of Relmada from any further losses that could stem from this information being spread.
Spokespeople from Relmada have stated that they believe that Laidlaw have very different interests than do the shareholders of their company. Therefore, they felt that they had no other option other than to file the lawsuit and let the Court figure it out.
Laidlaw and Company is an investment firm that seeks to grow its capital and the capital of its investors through strategic investments in businesses large and small. Established in 1842, the company has clearly largely been successful in its mission. However, there are clearly some naysayers and those who wish that the company would leave them out of things.
This is what is alleged in this case. However, with this case, the complainant has asserted that Laidlaw is attempting to lower the price of the shares in order to buy them out at a discount. If they are spreading false information to meet this objective, then that is clearly illegal. It will be interesting to see how the case settles out.