WWE’s Motion to have Saudi Arabia Lawsuit Dismissed Denied

Aug 7, 2020 - by James Walsh

WWE filed a motion to dismiss a lawsuit against them over several issues, which claim that WWE violated the Security Exchange Act by making false and misleading statements regarding their relationship with Saudi Arabia, specifically that they failed to disclose potential negative information which led people to purchase stock at artificially inflated prices.

The latest Wrestling Observer Newsletter reports that the judge in the case has denied WWE’s motion to dismiss, as he decided there was enough in the allegations to be true under the rules that control motions to dismiss. He also didn’t throw out the testimony about the alleged hostage incident.

Judge Jed Rakoff of U.S. District Court in the Southern District of New York wrote: “Ultimately, none of defendants’ numerous arguments succeeds. Basically, this is because the complaint, while not a model of clarity, adequately alleges an overall claim of securities fraud that is not only plausible, but also complies with the relevant heightened pleading requirements applicable to this kind of action. While defendants have trotted out a virtual herd of objections to the (lawsuit), on close inspection, none is a winner.“

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