SanDisk 2014 Annual Report Download - page 201

SANDISK CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
secret information that originated from materials taken by the former employee and ordering Hynix to
provide certain information to the Company’s counsel to facilitate the identification of those documents
taken by the former employee that are in Hynix’s possession. The order does not preclude Hynix from
continuing to sell NAND flash products that it has already qualified for commercial sale. Hynix has filed a
notice of appeal of the court’s preliminary injunction and also moved to stay enforcement of the order
pending the appeal. On July 16, 2014, the court denied Hynix’s motion with respect to the portion of the
order prohibiting use or disclosure of the trade secret information, but granted the motion to stay with
respect to the other portion of the order. On November 6, 2014, Hynix removed the case to federal court.
On December 8, 2014, the Company filed a motion to remand the case to state court.
Federal Securities Class Action Against Fusion-io et al. Beginning on November 19, 2013, Fusion-io and
certain of its officers were named in three putative class action lawsuits filed in the United States District
Court for the Northern District of California (Denenberg v. Fusion-io, Inc. et al.; Miami Police Relief &
Pension Fund v. Fusion-io, Inc. et al.; Marriott v. Fusion-io, Inc. et al.). Two of the complaints are allegedly
brought on behalf of a class of purchasers of Fusion-io’s common stock between August 10, 2012 and
October 23, 2013, and one is brought on behalf of a purported class of purchasers between January 25,
2012 and October 23, 2013. The complaints generally allege violations of the federal securities laws arising
out of alleged misstatements or omissions by the defendants during the alleged class periods. The
complaints seek, among other things, compensatory damages and attorneys’ fees and costs on behalf of the
putative class. On June 10, 2014, the Court consolidated the cases, appointed a lead plaintiff, and ordered
the plaintiffs to file an amended consolidated complaint. On August 6, 2014, a consolidated amended
complaint was filed on behalf of a putative class of purchasers of Fusion-io common stock between
October 25, 2012 and October 23, 2013, inclusive. The consolidated complaint generally alleges violations
of the federal securities laws arising out of alleged misstatements or omissions by the defendants during
the alleged class period and seeks, among other things, compensatory damages and attorneys’ fees and
costs on behalf of the putative class. On September 22, 2014, the defendants filed a motion to dismiss,
which is fully briefed and has been taken under submission by the court.
F-61
Annual Report