Microsoft faces lawsuit for not disclosing Windows RT’s poor demand and sales
Microsoft just cant catch a break these days. A group by the name of Robbins Geller filed a class action lawsuit against Microsoft on behalf of purchasers of Microsoft’s common stock during the period between April 18, 2013 and July 18, 2013. The lawsuit alleges that Microsoft did not disclose Windows RT’s poor demand and lackluster sales.
According to the lawsuit, Microsoft issued “materially false and misleading statements” regarding the company’s financial performance and the Surface RT’s performance. Microsoft apparently did not disclose that the Surface RT was experiencing poor customer demand and lackluster sales. The lawsuit also states that Microsoft’s Surface RT inventory experiences a material decline in value during the quarter ending March 31st of 2013 and the financial statements for that quarter were false and misleading.
The lawsuit also states that Microsoft’s Form 10-Q for the third quarter of 2013 did not disclose the known trends, events, or uncertainties that were associated with the Surface RT product. Disclosing these details would “reasonably likely to have a material effect on Microsoft’s future operating results.” The suit also states that based on what has been mentioned above, Microsoft shouldn’t have been touting the Surface RT in a positive manner.
The Plaintiffs are looking to recover damages on behalf of all those who have purchased Microsoft’s common stock during the indicated period. No word on exactly how much that monetary amount is. More on this as it develops.Further reading: Microsoft, Windows RT