A shareholder bought 1,000 shares of a global energy company…
A shareholder bought 1,000 shares of a global energy company on August 20. At the time, there were 100,000 shares of the company’s stock outstanding. Unfortunately for the shareholder, on August 21 it came to light that the company’s management was artificially inflating the company’s earnings the past year in order to inflate the company’s stock price. By August 27, the stock was worthless. It is unquestioned that the shareholders who owned the stock during the week of August 21-27 were harmed. The shareholder filed a class action lawsuit in the federal district court. Must she give notice to other absent class members?