Pursuits
Toll Brothers to Pay $25 Million to End Lawsuit
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Toll Brothers Inc., the largest U.S. luxury-home builder, agreed to pay $25 million to settle a lawsuit that alleged the company misled investors about its ability to weather the slump in the housing market.
The City of Hialeah Employees’ Retirement System in Florida sued in April 2007, claiming directors misrepresented demand for Toll’s new homes in fiscal year 2005 and growth projections for 2006. The Laborers Pension Trust Fund for Northern California joined as co-plaintiff seeking to represent investors who bought shares from Dec. 9, 2004, to Nov. 8, 2005. Toll denies any wrongdoing.