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On August 3, 2011, the Honorable George B. Daniels of the United States District Court for the Southern District of New York dismissed a putative federal securities class action against Scholastic Corporation and certain individuals captioned Alaska Laborers Employers Retirement Fund vs. Scholastic Corp., et al. following denial of Plaintiff’s motion to file a third amended complaint. Plaintiff’s third amended complaint would have alleged that, throughout the class period, Defendants knowingly misled the public about alleged problems in Scholastic’s Continuities and U.K. businesses. Simpson Thacher represented Scholastic Corporation and the individual defendants in this action.

Plaintiff’s motion to file a third amended complaint was filed in response to the Court’s prior dismissal of the case in September 2010. In denying Plaintiff’s motion to file a third amended complaint, the Court held that the proposed complaint did not cure the scienter and loss causation deficiencies that existed in Plaintiff’s prior complaint and amendment would therefore be futile.

The STB team consisted of Michael J. Chepiga, Jonathan K. Youngwood, Andrew Cattell, Abigail A. Hazlett, and Kristen E. Grauer.