Juno Therapeutics Settles Securities Class Action for $24 Million

Lawyers for a certified class of investors in Juno Therapeutics have announced a $24 million settlement to resolve claims that the biopharmaceutical company’s failure to disclose the death of one of its immunotherapy patients led to a 30 percent drop in its share price. The investors filed suit against the company and two of its top executives in June 2016, alleging that they failed to immediately warn shareholders that their landmark blood cancer treatment caused severe neurotoxicity that had already resulted in the death of one patient during clinical trials. In the months after the patient’s death, the company allegedly touted the drug’s initial success while allowing the company’s CEO and CFO to sell their shares for $10 million. After two more patients died from cerebral edema and the clinical trial was put on hold, Juno disclosed the drug’s risks and its stock price fell more than 30 percent, according to the shareholders.

The case is Veljanoski v. Juno Therapeutics Inc. et al., case number 2:16-cv-01069, in the U.S. District Court for the Western District of Washington.

This blog is intended to provide information to the general public and to practitioners about developments that may impact Oregon class actions.

Sign up to receive Class Actions Blog posts in your inbox!

Steve Larson

An experienced trial lawyer who handles both hourly and contingent fee cases, Steve has expertise in class actions, environmental clean-up litigation, antitrust litigation, securities litigation, corporate disputes, intellectual property disputes, unfair competition claims, and disputes involving family wealth. Steve regularly represents individuals and businesses in federal and state court and has obtained class-wide recovery in multiple class actions. A veteran practitioner, Steve’s clients value his creative approach to resolving complex litigation matters.


Legal Disclaimer

The information contained in this blog does not constitute legal advice, and does not create an attorney-client relationship. We make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information contained in or linked to this blog.