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A class action has been filed against Bank of America Corporation (NYSE: BAC) and certain related firms by investors who purchased shares in any of the Nations Funds, managed by Bank of America, between October 1, 1998, and July 3, 2003. The action charges that, throughout this time period, the defendants failed to disclose that they improperly allowed certain hedge funds, such as Canary Capital Partners, to engage in "late trading" and "timing" of the funds' securities.

Several class actions have been filed against mutual funds managers Morgan Stanley, Morgan Stanley Advisors, LP, Morgan Stanley DW, Inc., Van Kampen Investments, Inc., and Van Kampen Asset Management, Inc. (various stock symbols) by persons who purchased the companies’ mutual funds between October 1, 1999, and December 31, 2002. The actions claim that the defendants violated federal securities laws by failing to disclose that they aggressively pushed their sales associates to sell Morgan Stanley and Van Kampen funds, instead of mutual funds owned and managed by other companies, by organizing internal contests offering various prizes to brokers who sold the most in proprietary funds.

Federal securities laws and regulations protect innocent stockholders from unfair dealing by powerful corporate figures. The parties have reached a tentative $11 million settlement of several class actions filed against electronic data interchange provider Envoy Corporation (formerly Nasdaq: ENVY) and certain of its officers and directors by stockholders who purchased the company's common stock between February 12, 1997, and August 18, 1998. To recover under the settlement, a completed proof of claim postmarked no later than February 20, 2004, must be mailed to the claims administrator.

A class action has been filed against neonatal and perinatal physician services provider Pediatrix Medical Group, Inc. (NYSE: PDX) and certain of its officers and directors by stockholders who purchased the company's common stock between April 17, 2002, and June 23, 2003.

A class action has been filed against construction equipment rental supplier United Rentals, Inc. (NYSE: URI) and certain of its officers and directors by stockholders who purchased the company's common stock between October 23, 2003 and August 30, 2004. The action claims 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. The stockholders seek to recover compensatory damages for the loss of value of their stock.

Market timing is a controversial issue among traders. Several class actions have been filed against mutual fund Columbia Acorn Trust (Fund: ACRNX) and its management company, Columbia Wanger Asset Management, LP, by investors who owned the company's shares at any time for a continuous period of 14 days or more. The actions claim that the defendants violated federal securities laws by allowing market timing traders to take advantage of its failure to properly update net asset values per share.

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