Medical Marijuana Inc (MJNA)

[GDorn]

It Might Make a Difference

First I agree that the suit will most likely be settled out of court, Llamas and Sides would be idiots not to do so. The causes of action read like a road map for a potential securities fraud investigation. Make no mistake, this IS a civil action but for Llamas/Sides to prevail in court they would functionally need to disprove what would amount to allegations of criminal activity. And the exhibits to the complaint provide documentation of the claims.

As to the suit "making a difference," I don't believe it will change much but the amount of the settlement could potentially prove significant. The amount will not likely be made public but a ball park guess would be in the area of the current value of 60 million MJNA shares circa 2011 adjusted for dilution, court costs, legal fees and a healthy amount of "pay you to walk away" money.

Oh, and in that oh so rare lawsuit, you know, the one where MJNA is actually the plaintiff, that's another reason why the Tobias suit will likely be settled quietly. Even if MJNA prevails in their suit against Cranford et al the question becomes damages. MJNA seems to want to pretend that the ONLY reason their sales numbers and stock prices are down is because of "those guys." Revealing first hand information about MJNA/Llamas' business practices would point a rather strong finger at them as being the source of their own problems.