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BRENNAN v. ZAFGEN, INC.

No. 16-2057.

853 F.3d 606 (2017)

Terry BRENNAN; Ron Kenner; Kevin Koziatek; Jeffrey Buterbaugh; Dragon Gate Management, Ltd; Vincent Rampe, Plaintiffs, Appellants, Aviad Bessler, individually and on behalf of all others similarly situated; Theodore J. Daly, Plaintiffs, v. ZAFGEN, INC.; Thomas E. Hughes, Defendants, Appellees.

United States Court of Appeals, First Circuit.

April 7, 2017.

Attorney(s) appearing for the Case

Jeffrey C. Block , with whom Joel A. Fleming , Block & Leviton LLP, Boston, MA, Jacob A. Goldberg , Gonen Haklay , and The Rosen Law Firm, P.A., were on brief, for appellants.

Deborah S. Birnbach , with whom Kevin P. Martin , Adam Slutsky , Kate MacLeman , Joshua Bone , and Goodwin Procter LLP, Boston, MA, were on brief, for appellees.

Before Kayatta, Circuit Judge, Souter, Associate Justice, and Stahl, Circuit Judge.

Following a significant drop in the share price of Zafgen, Inc., a biopharmaceutical developer based in Boston, Massachusetts, its investors brought a securities fraud class action suit against the company and its Chief Executive Officer, Dr. Thomas Hughes ("defendants"), pursuant to Sections 10(b) and 20(a) of the Securities...

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