Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-5_06-cv-05208/USCOURTS-cand-5_06-cv-05208-4/pdf.json

Nature of Suit Code: 850
Nature of Suit: Securities, Commodities, Exchange
Cause of Action: 15:78m(a) Securities Exchange Act

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1

 This disposition is not designated for publication and may not be cited.

2

 Plaintiff New York City Employees’ Retirement System filed a response stating no

opposition to the instant motion to the extent that it would not prejudice its application for lead

plaintiff status in the related case Vogel v. Jobs, No. C 06-05208, brought under the Private

Securities Litigation Reform Act. The Court granted that motion at oral argument on January 19,

Case No. C 06-4128 JF

ORDER DENYING MOTION FOR APPOINTMENT OF SARATOGA PLAINTIFFS AS LEAD PLAINTIFF AND

FOR APPOINTMENT OF FINKELSTEIN & KRINSK LLP TO THE MANAGEMENT COMMITTEE

(JFLC1)

**E-Filed 1/22/2007**

NOT FOR CITATION

IN THE UNITED STATES DISTRICT COURT

FOR THE NORTHERN DISTRICT OF CALIFORNIA

SAN JOSE DIVISION

IN RE APPLE COMPUTER INC., DERIVATIVE

LITIGATION

Case Number C 06-4128 JF

ORDER1 DENYING MOTION FOR

APPOINTMENT OF SARATOGA

PLAINTIFFS AS LEAD PLAINTIFF

AND FOR APPOINTMENT OF

FINKELSTEIN & KRINSK LLP TO

THE MANAGEMENT COMMITTEE

[re: docket no. 84]

Plaintiffs Saratoga Advantage Trust Large Capitalization Growth Portfolio and Saratoga

Advantage Trust Technology & Communications Portfolio (collectively “Saratoga Plaintiffs”)

move for appointment of themselves as lead plaintiff and for appointment of their counsel

Finkelstein & Krinsk LLP to the management committee. Nominal defendant Apple Computer

Inc. takes no position on the motion.2 The management committee opposes the motion. The

Case 5:06-cv-05208-JF Document 19 Filed 01/30/07 Page 1 of 5
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2007.

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Case No. C 06-4128 JF

ORDER DENYING MOTION FOR APPOINTMENT OF SARATOGA PLAINTIFFS AS LEAD PLAINTIFF AND

FOR APPOINTMENT OF FINKELSTEIN & KRINSK LLP TO THE MANAGEMENT COMMITTEE

(JFLC1)

Court heard oral argument on the motion on January 19, 2007.

On November 2, 2006, the Court issued an order establishing a management committee

for this litigation and declining to appoint a lead plaintiff. Prior to issuing that order, the Court

considered the arguments raised by the Saratoga Plaintiffs in the affidavit filed on October 19,

2006, and at the oral argument on October 20, 2006. While aware of the reputation and expertise

of Finkelstein & Kinsk LLP, the Court decided that the litigation would proceed most effectively

with a management committee composed of Cotchett, Pitre, Simon & McCarthy; Keller

Rohrback L.L.P.; Lerach Coughlin Stoia Geller Rudman & Robbins LLP; and Schiffrin &

Barroway, LLP, with the first firm serving as chair. 

The Saratoga Plaintiffs now move for appointment of their counsel to the management

committee to avoid a potential deadlock among the four-member committee and to protect

claims under Section 10(b) of the Exchange Act, 15 U.S.C. § 78j, and Rule 10b-5, promulgated

thereunder, 17 C.F.R. § 240.10b-5. The Court concludes that it should not alter the management

structure for either of these reasons. The management committee reports that it has suffered no

deadlocks in producing the Consolidated Shareholder Derivative Complaint, filed on December

18, 2006. The establishment of a four-member, rather than a five-member, management

committee was not an oversight but rather was intended to promote consensus-building among

the committee members. The Court remains confident that the management committee will

prosecute the litigation efficiently and effectively. The Court also concludes that the

management committee has adequate experience to protect any claims for relief under Section

10(b) or Rule 10b-5. Accordingly, the Court will deny the Saratoga Plaintiffs’ motion for

appointment of its counsel, Finkelstein & Krinsk LLP to the management committee.

The Court also concludes that it need not appoint a lead plaintiff in this action. The Court

recognizes the Saratoga Plaintiffs’ vigorous interest in this litigation, but concludes that the

management committee will represent the interests of Apple adequately without the appointment

of a lead plaintiff. Accordingly, the Court will deny the motion to appoint the Saratoga Plaintiffs

Case 5:06-cv-05208-JF Document 19 Filed 01/30/07 Page 2 of 5
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3

 The Saratoga Plaintiffs argue that they should be included among the named plaintiffs

in this action. The management committee stated at oral argument that it would give that

suggestion serious consideration. The Saratoga Plaintiffs reserved the right to bring an

appropriate motion on that subject. Accordingly, the Court need not address this issue at the

present time.

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Case No. C 06-4128 JF

ORDER DENYING MOTION FOR APPOINTMENT OF SARATOGA PLAINTIFFS AS LEAD PLAINTIFF AND

FOR APPOINTMENT OF FINKELSTEIN & KRINSK LLP TO THE MANAGEMENT COMMITTEE

(JFLC1)

as lead plaintiff.3

IT IS SO ORDERED.

DATED: January 22, 2007.

 

JEREMY FOGEL

United States District Judge

Case 5:06-cv-05208-JF Document 19 Filed 01/30/07 Page 3 of 5
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Case No. C 06-4128 JF

ORDER DENYING MOTION FOR APPOINTMENT OF SARATOGA PLAINTIFFS AS LEAD PLAINTIFF AND

FOR APPOINTMENT OF FINKELSTEIN & KRINSK LLP TO THE MANAGEMENT COMMITTEE

(JFLC1)

This Order has been served upon the following persons:

Genevieve A. Cox Genevieve.Cox@mto.com, sophialeshin@gmail.com 

Travis E. Downs , III travisd@lerachlaw.com, e_file_sd@lerachlaw.com 

Yohance Claude Edwards yohance.edwards@mto.com, milvi.giesinger@mto.com 

Juli E. Farris jfarris@kellerrohrback.com, mbates@kellerrohrback.com;

bleland@kellerrohrback.com 

Howard D. Finkelstein fk@classactionlaw.com, 

David Malcolm Furbush dfurbush@omm.com, dbrown@omm.com; dshah@omm.com;

lnewell@omm.com 

Sean M. Handler , Esq ecf_filings@sbtklaw.com, der_filings@sbtklaw.com.com 

Sarina M. Hinson shinson@lawgarcia.com, jmobley@lawgarcia.com 

Willem F. Jonckheer wjonckheer@schubert-reed.com 

Jeffrey R. Krinsk jrk@classactionlaw.com, fk@classactionlaw.com 

Elizabeth A. Leland bleland@kellerrohrback.com, chopkins@kellerrohrback.com 

Ronald Lovitt rl@lh-sf.com, davies@lh-sf.com 

Mark C. Molumphy mmolumphy@cpsmlaw.com, jacosta@cpsmlaw.com,

ksommerfeld@cpsmlaw.com 

Jerry E. Nastari jen@coreylaw.com, deg@coreylaw.com 

Alan R. Plutzik aplutzik@bramsonplutzik.com 

Juden Justice Reed jreed@schubert-reed.com, rschubert@schubert-reed.com 

Jerome C. Roth Jerome.Roth@mto.com, susan.ahmadi@mto.com 

Lynn Lincoln Sarko lsarko@kellerrohrback.com 

Kathryn A. Schofield kschofield@bramsonplutzik.com, mfogle@bramsonplutzik.com 

Robert C. Schubert rschubert@schubert-reed.com 

Luann Loraine Simmons lsimmons@omm.com, smeblin@omm.com;

cholsome@omm.com; cchiu@omm.com 

Kelly L Sommerfeld ksommerfeld@cpsmlaw.com, jacosta@cpsmlaw.com 

John W. Spiegel spiegeljw@mto.com, finchac@mto.com; stonelc@mto.com;

berryjm@mto.com; giesingermj@mto.com; voigtsam@mto.com 

Mary Sikra Thomas mthomas@gelaw.com, memaryt@verizon.net 

Case 5:06-cv-05208-JF Document 19 Filed 01/30/07 Page 4 of 5
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Case No. C 06-4128 JF

ORDER DENYING MOTION FOR APPOINTMENT OF SARATOGA PLAINTIFFS AS LEAD PLAINTIFF AND

FOR APPOINTMENT OF FINKELSTEIN & KRINSK LLP TO THE MANAGEMENT COMMITTEE

(JFLC1)

Shawn A. Williams shawnw@lerachlaw.com, e_file_sd@lerachlaw.com;

e_file_sf@lerachlaw.com; AelishB@lerachlaw.com;

MoniqueW@lerachlaw.com; TravisD@lerachlaw.com;

ChrisW@lerachlaw.com 

Scott Justin Yundt syundt@mandhllp.com, dhoward@mandhllp.com;

aarnall@mandhllp.com; gmurray@mandhllp.com 

Eric L. Zagar ezagar@sbclasslaw.com, rwinchester@sbclasslaw.com;

der_filings@sbclasslaw.com 

Notice will be delivered by other means to: 

Carl Holliday Moor 

Munger Tolles & Olson LLP

355 S Grand Ave 35FL

Los Angeles, CA 90071-1560

Richard S. Schiffrin 

Schiffrin & Barroway LLP

280 King of Prussia

Radnor, PA 19087

Emanuel Shachmurove 

Schiffrin & Barroway, LLP

280 King of Prussia Road

Radnor, PA 19087

Case 5:06-cv-05208-JF Document 19 Filed 01/30/07 Page 5 of 5