IANAL, but I think the key phrase from the article is this:
"The suit would represent people who bought shares of Facebook from Feb. 3, 2017, when Facebook filed its annual report and cited security breaches and improper access to user data, through March 19.
Investors may be able to sue Facebook successfully if they can show the company induced them to invest based in part on false, misleading or incomplete information regarding practices that might have averted the user privacy issues, Robbins said."
The fact is, Facebook knew about the voter-profile harvesting. The question is, were they legally supposed to disclose it publicly and did anyone invest in Facebook under the false pretenses created by Facebook choosing not to disclose it.
It's kinda narrow and it is very hard to prove why someone chooses to invest in a company. I doubt this get much traction. I also think it sets a scary precedent, unless the plaintiffs can prove Facebook covered this up with an intention to lure potential investors (like a memo from Zuck stating as such).
"The suit would represent people who bought shares of Facebook from Feb. 3, 2017, when Facebook filed its annual report and cited security breaches and improper access to user data, through March 19.
Investors may be able to sue Facebook successfully if they can show the company induced them to invest based in part on false, misleading or incomplete information regarding practices that might have averted the user privacy issues, Robbins said."
The fact is, Facebook knew about the voter-profile harvesting. The question is, were they legally supposed to disclose it publicly and did anyone invest in Facebook under the false pretenses created by Facebook choosing not to disclose it.
It's kinda narrow and it is very hard to prove why someone chooses to invest in a company. I doubt this get much traction. I also think it sets a scary precedent, unless the plaintiffs can prove Facebook covered this up with an intention to lure potential investors (like a memo from Zuck stating as such).