Photo Sharing and Video Hosting at Photobucket The SEC’s settlements of options backdating civil enforcement actions against Brocade Communications and Mercury Interactive received extensive coverage in the financial press last week (refer here and here). But there are several features of these settlements and the underlying civil actions that merit closer attention, particularly with respect to the Mercury Interactive action and

In an earlier post (here) entitled “Options Backdating: Sue the Gatekeeper,” I discussed a recent case where a company had sued its former accountant for the accountant’s options timing advice. It now appears, in addition to “sue the gatekeeper,” that “blame the gatekeeper” has emerged as a part of options backdating litigation.

Photo Sharing and Video Hosting at Photobucket On April 11, 2007, Judge William Alsup of the San Francisco federal court granted the defendants’ motion to dismiss the consolidated shareholders’ derivative complaint filed in the connection with alleged options backdating at CNET Networks, based on plaintiffs’ failure “to plead with particularity that demand on the board was excused as futile.”

The plaintiffs’