Zagg, Inc. Securities Litigation v. Zagg, Inc.
Court of Appeals for the Tenth Circuit
1Opinion of the Court
TYMKOVICH, Circuit Judge.
Plaintiffs appeal the district court’s dismissal of a securities class action against ZAGG, Inc. and its former CEO and Chairman, Robert Pedersen, alleging violations of the antifraud provisions of the securities laws. The plaintiffs allege Ped-ersen failed to disclose in several of ZAGG’s SEC filings the fact that he had pledged nearly half of his ZAGG shares, amounting to approximately 9 percent of the company, as collateral in a margin account. The district court dismissed the complaint for a failure to plead particularized facts giving rise to a strong inference…
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