OrthoLogic settles class action lawsuits:
This article was originally published in Clinica
Orthopaedics company OrthoLogic has settled a series of class actions dating from 1996. The Tempe, Arizona company is paying $1 million in cash and one million shares of newly-issued OrthoLogic stock to former shareholders. The lawsuits alleged that the company did not disclose information concerning its 1000 bone growth stimulator, leading to an artificially inflated share price. In addition, the plaintiffs alleged fraud in that the company allegedly made untrue statements. While not admitting wrongdoing, OrthoLogic says the settlement frees it from the cost and distraction of ongoing litigation.