Facebook faces deluge of lawsuits over troubled IPO

Facebook is in some legal hot water.
Facebook and its underwriters have been hit with approximately 50 lawsuits over its troubled initial public offering, the Wall Street journal is reporting, citing lawyers working on the cases. To make matters worse, the Journal’s sources say that the brokers and financial firms that pushed investors to buy Facebook shares could face arbitration claims from those same buyers.
According to the Journal, it had a chance to look through some of the lawsuits, and many of them take aim at Facebook and its chief underwriter, Morgan Stanley, for failing to…

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