Judge tosses lawsuit claiming DuPont misled investors
DOVER, Del. (AP) — A judge has dismissed a lawsuit alleging that the DuPont Co. misled investors when it spun off its performance chemicals unit into a new company called Chemours.
The judge ruled Tuesday that statements made by DuPont leading up to the 2015 spinoff were not statements of fact but forward-looking statements of expectation or opinion that are not actionable under Delaware law. The judge also said there was no evidence the statements were knowingly false or made in bad faith.
Matthew B. Mooney of Connecticut claimed he bought stock in DuPont based on the stated purpose of the spinoff, its expected effect on DuPont, and Chemours’ anticipated financial prospects as a stand-alone entity.
After selling his stock at a loss, Mooney alleged that DuPont fraudulently misrepresented the spinoff’s potential success.