Prudential Financial, Inc. Securities Litigation
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This website has been established to provide general information related to the proposed settlement of the Prudential Financial, Inc. ("Prudential" or the "Company") Securities Litigation. The capitalized terms used on this website, and not defined herein, shall have the same meanings ascribed to them in the Stipulation of Settlement (the "Stipulation") dated April 18, 2016, which can be found and downloaded by clicking on the Case Documents tab above. 

This is a securities class action litigation currently pending before the Honorable Madeline Cox Arleo in the United States District Court for the  District of New Jersey (the “Court”), and the Litigation is known as City of Sterling Heights General Employees’ Retirement System v. Prudential Financial, Inc., et al., No. 2:12-cv- 05275-MCA-LDW (D.N.J.). The Court has appointed the law firm of Robbins Geller Rudman & Dowd LLP as Lead Counsel to represent the Plaintiffs and all other Class Members in the Litigation.

The Settlement provides that, in exchange for the release of the Released Claims (defined in the Notice of Proposed Settlement of Class Action) and dismissal of the Litigation, Defendants have agreed to pay (or cause to be paid) $33 million in cash to be distributed after taxes, fees, and expenses, pro rata, to Class Members who send in a valid Proof of Claim form pursuant to the Court-approved Plan of Allocation. The Plan of Allocation is described in more detail at the end of the Notice.


On August 22, 2012, a putative class action was filed in the United States District Court for the District of New Jersey alleging violations of federal securities laws. The Court has appointed the law firm of Robbins Geller Rudman & Dowd LLP as Lead Counsel. National Shopmen Pension Fund, Heavy & General Laborers’ Locals 472 & 172 Pension and Annuity Funds, and Roofers Local No. 149 Pension Fund are the Court-appointed Lead Plaintiffs.

The Amended Complaint for Violations of Federal Securities Laws (the “Complaint”) filed in the Litigation alleged Defendants made material misstatements and omissions regarding the financial health and status of Prudential. Specifically, Lead Plaintiffs alleged that Defendants issued materially false and misleading statements concerning Prudential’s current and future financial condition, including its reserves and its potential liability to policyholders, their beneficiaries or relevant state authorities for millions of dollars in benefits that should have been paid out to policyholders or escheated to the states, and the extent of the Company’s exposure to claims of state and federal law violations. On November 2, 2011, Prudential disclosed that it had taken a $99 million pre-tax charge to increase reserves in connection with its unclaimed property practices. The price of Prudential stock fell from $53.67 per share on November 2, 2011, to $52.19 per share on November 4, 2011, which Lead Plaintiffs alleged caused damages to purchasers of Prudential stock during the Class Period.

On February 6, 2014, the Court issued an Order denying Defendants’ motion to dismiss the Complaint. On April 4, 2014, the Defendants answered the Complaint.

On August 31, 2015, the Court issued an Opinion and Order granting Lead Plaintiffs’ motion for class certification. On January 11, 2016, the Third Circuit Court of Appeals granted Defendants’ motion for leave to file an interlocutory appeal of the class certification order. Between March 12, 2014 and January 4, 2016, Lead Plaintiffs obtained over 3.5 million pages of documents from Defendants and 18 non-parties, and took 17 depositions. Following a January 5, 2016 status conference, the Court required the parties to mediate a possible resolution of the litigation. The parties thereafter engaged the services of the Hon. Layn R. Phillips (Ret.), a nationally-recognized mediator and former federal district court judge. The parties prepared detailed mediation statements and engaged in an in-person mediation session with Judge Phillips on February 24, 2016. These efforts culminated with the agreement to settle the Litigation for $33,000,000, subject to approval of the Settlement by the Court.

Defendants deny each and all of the claims and contentions of wrongdoing alleged by Lead Plaintiffs in the Litigation. Defendants contend that they did not make any materially false or misleading statements, that they disclosed all material information required to be disclosed by the federal securities laws, and that any alleged misstatements or omissions were not made with the requisite intent or knowledge of wrongdoing. Defendants also contend that any losses allegedly suffered by Members of the Class were not caused by any allegedly false or misleading statements by them and/or were caused by intervening events. Defendants also maintain that they have meritorious defenses to all claims that were raised or could have been raised in the Litigation.


The Class is defined as all Persons who purchased or otherwise acquired Prudential publicly traded common stock between May 5, 2010 and November 4, 2011, inclusive, and were allegedly damaged thereby.

Although the information on this website is intended to assist you, it does not replace the information contained in the Notice and the Stipulation, both of which can be found and downloaded from this website. We recommend that you read the Notice and other relevant case documents carefully.


Submit a Claim Form The only way to be eligible to receive a payment from the Settlement. Proof of Claim forms must be postmarked or submitted online on or before November 2, 2016.
Exclude Yourself Get no payment. This is the only option that potentially allows you to ever be part of any other lawsuit against the Defendants or any other Released Persons about the legal claims being resolved by this Settlement. Exclusions must be postmarked on or before September 8, 2016.
Object Write to the Court about why you do not like the Settlement, the Plan of Allocation, and/or the request for attorneys’ fees, costs, and expenses. You will still be a Member of the Class. Objections must be received by the Court and counsel on or before September 8, 2016.
Go to the Hearing on September 28, 2016 Ask to speak in Court about the fairness of the Settlement. Requests to speak must be received by the Court and counsel on or before September 8, 2016.
Do Nothing Receive no payment. You will, however, still be a Member of the Class, which means that you give up your right to ever be part of any other lawsuit against the Defendants or any other Released Persons about the legal claims being resolved by this Settlement and you will be bound by any judgments or orders entered by the Court in the Litigation.


Submit a Claim Form November 2, 2016
Exclude Yourself September 8, 2016
Object September 8, 2016
Settlement Hearing September 28, 2016 at 2:00 PM