New York litigation boutique Shalov Stone Bonner & Rocco recently filed a class action lawsuit against NVIDIA Corporation for alleged securities fraud. The complaint alleges that NVIDIA lost more than $3 billion in market value due to a “series of misrepresentations and omissions that actively concealed and failed to disclose the unusually high failure rates of Nvidia’s mobile video adapters.” The class action covers November 8, 2007 through July 2, 2008 and names NVIDIA Corporation, CEO Jen-Hsun Hunag, and CFO Marvin Burkett as defendants.
Hewlett Packard and Dell previously acknowledged the problems with the NVIDIA cards in 2007 and began offering BIOS workarounds, however it took NVIDIA until July 2, 2008 to institute a nearly $200 million warranty and repair program for the defective chips. Apple recently acknowledged the problem with NVIDIA chips in their previous MacBook Pro line and is offering to reimburse customers that have already paid for a fix.
You can download the full complaint here.
[via cnet]
