China-Based Jumei Secures Dismissal of Class Action Complaint

On behalf of China-based Jumei International Holding Ltd., Skadden secured the complete dismissal of a consolidated class action complaint in which investors alleged Jumei's May 2014 IPO registration statement and August 2014 earnings report contained false and misleading statements because they failed to disclose Jumei's plan to exit one of its business lines in September of that year. In his January 10 dismissal, Judge William Pauley of the U.S. District Court for the Southern District of New York found that the plaintiffs alleged no facts showing that any defendant knew in May or August that Jumei would exit its business line in September and allegations of temporal proximity alone are insufficient to allege an actionable misrepresentation or omission.