The class has been certified in several consolidated class actions against Internet consulting firm marchFIRST, Inc., (formerly AMEX:MQ) and certain of its officers and directors by stockholders who purchased the company's common stock between March 23, 2000, and November 20, 2000. The actions claim that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities. If you wish to remain a member of the class, you are not required to do anything at the present time.

The action alleges that, during the applicable period, defendants Robert F. Bernard, Robert T. Clarkson and Bert B. Young, who were officers and directors of the company, made a series of false statements and omitted to state facts concerning, among other things: (1) the collectibility of the marchFIRST accounts receivable; (2) the integration of Whittman-Hart and USWeb/CKS; and (3) the company's revenues and earnings. These material misrepresentations and omissions allegedly inflated the price of marchFIRST common stock, causing investors to pay more for the stock than they should have. The stockholders seek to recover compensatory damages for the loss of value of their stock.

The action alleges that marchFIRST management engaged in a variety of conduct designed to create the impression that marchFIRST was enjoying success in the marketplace when it was really in deep financial trouble. The misimpressions were fostered by inappropriate venture investments, improper income recognition in the form of 'roundtripping' abuses, overhiring, excessive real estate spending, and a variety of other corporate waste. This facade of success came at the cost of wasting untold millions of dollars by building an infrastructure for growth that did not exist at the company. Those abuses allegedly continued and accelerated even while marchFIRST was rapidly approaching insolvency.

marchFIRST was a high-flying dotcom, and had many well-known companies as customers, such as Apple and Saks Fifth Avenue, and IBM, Novell (who reportedly lost millions), and Microsoft (who loaned them money) as partners. Many reports at the time of its demise viewed it as a victim of the dot-com bubble bursting. In fact, it made it into the Museum of E-Failure, as an example of that era's busts.

Unless a settlement is reached, this matter will have to be decided by a trial jury. A date for the trial has not yet been set.