Innovation Pharmaceuticals Inc (IPIX)

[loanranger]

2016-06-20 54 "The parties are directed to appear for a conference on Defendants' contemplated motion for sanctions on Friday, July 15, 2016, at 2:30 p.m"

2016-07-08 58 "NOTICE OF APPEAL from 49 Memorandum & Opinion,,,, 50 Clerk's Judgment,,. Document filed by Gary Zagami(On behalf of all others similarly situated)."


I wonder if Judge KPF will defer any sanction findings until after the Appeal has been decided, now that Rosen has filed a Notice of Appeal. I suspect they could be seen as potentially prejudicing the appeal.
It also appears that the appellate court itself could decide the sanctions issue or send it back to the District Court to deal with after deciding the appeal.


Just an FYI with a ring to it:
"Representations in a filing in a federal district court that are not grounded in an "inquiry reasonable under the circumstances" or that are unlikely to "have evidentiary support after a reasonable opportunity for further investigation or discovery" violate Rules 11(b) and 11(b)(3). The appellate panel noted that the same law firm "was criticized for misleading allegations concerning confidential sources," made to stave off dismissal of yet another securities-fraud case much like this one. And the same firm was described in two other reported cases as having engaged in "similar misconduct." Posner declared: "Recidivism is relevant in assessing sanctions."9

The appellate court pondered whether to impose Rule 11 sanctions or remand to the district court to decide. The circuit court could do so in a clear case but "remand generally is the preferable course." The district court is in a better position to calculate the dollar amount of the sanctions. It also may have additional insights into the accused lawyers' conduct since it will have spent more time on the litigation than the appellate court.10 Accordingly, the matter was remanded for consideration by the district court whether to impose Rule 11 sanctions and, if so, in what amount."

http://www.herzfeld-rubin.com/publ_products_201304.htm