This is very good news for current shareholders. To answer your question I am a former shareholder and it weighed heavily on me to the point I sold my entire position.
I didn't sell just because of the lawsuit though I sold because of my perception of inside dealing by management.
The insurance carrier is closely affiliated with company management and when I saw they were not planning on paying the settlement I decided that management was using USOO to line their own pockets by collecting premiums but not paying claims.
This may put some shareholders minds at ease so I would expect a positive reaction.
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