Welgus v. Trinet Group, Inc. et al

Filing 47

ORDER GRANTING 46 STIPULATION RE FILING OF PLAINTIFF'S FIRST AMENDED COMPLAINT AND BRIEFING SCHEDULE TO RESPOND TO FIRST AMENDED COMPLAINT. ECF 43 Motion for Leave to File First Amended Complaint terminated as moot. Signed by Judge Beth Labson Freeman on 4/13/2016. (blflc2S, COURT STAFF) (Filed on 4/14/2016)

1 ROBBINS GELLER RUDMAN
& DOWD LLP
2 SHAWN A. WILLIAMS (213113)
DANIEL J. PFEFFERBAUM (248631)
3 NADIM G. HEGAZI (264841)
KENNETH J. BLACK (291871)
4 Post Montgomery Center
One Montgomery Street, Suite 1800
5 San Francisco, CA 94104
Telephone: [phone]
6 415/288-4534 (fax)
[e-mail]
7 [e-mail]
[e-mail]
8 [e-mail]
9 Lead Counsel for Plaintiff
10 [Additional counsel appear on signature page.]
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UNITED STATES DISTRICT COURT

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NORTHERN DISTRICT OF CALIFORNIA

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SAN JOSE DIVISION

14 HOWARD WELGUS, Individually and on
Behalf of All Others Similarly Situated,
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Plaintiff,
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vs.
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TRINET GROUP, INC., et al.,
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Defendants.
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Case No. 5:15-cv-03625-BLF
STIPULATION AND [PROPOSED] ORDER
RE FILING OF PLAINTIFF’S [PROPOSED]
FIRST AMENDED COMPLAINT AND
BRIEFING SCHEDULE TO RESPOND TO
FIRST AMENDED COMPLAINT

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This Stipulation is made by and among Plaintiff Howard Welgus (“Welgus” or “Lead

2 Plaintiff”), individually and on behalf of all other persons similarly situated, and Defendants TriNet
3 Group, Inc. (“TriNet”), Burton M. Goldfield, William Porter, Katherine August-deWilde, Martin
4 Babinec, H. Raymond Bingham, David C. Hodgson, Kenneth Goldman, John H. Kispert, Wayne B.
5 Lowell, and General Atlantic LLC (collectively, the “Stipulating Defendants,” and, with Lead
6 Plaintiff, the “Stipulating Parties”), by and through their respective counsel.
7

RECITALS

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1.

WHEREAS, on August 7, 2015, Welgus filed a Complaint for Violation of the

9 Federal Securities Laws (Dkt. No. 1) against Defendants TriNet, Burton M. Goldfield and William
10 Porter;
11

2.

WHEREAS, on October 6, 2015, Welgus filed a Motion for Appointment as Lead

12 Plaintiff and Approval of Selection of Counsel (Dkt. No. 17);
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3.

WHEREAS, on December 3, 2015, this Court issued an order appointing Welgus as

14 Lead Plaintiff pursuant to the Private Securities Litigation Reform Act of 1995 and appointing
15 Robbins Geller Rudman & Dowd LLP as Lead Counsel (Dkt. No. 24);
16

4.

WHEREAS, on February 1, 2016, Lead Plaintiff filed a Consolidated Complaint for

17 Violation of the Federal Securities Laws (Dkt. No. 26) (“CC”) against TriNet, Burton M. Goldfield,
18 William Porter, Martin Babinec, H. Raymond Bingham, David C. Hodgson and General Atlantic
19 LLC;
20

5.

WHEREAS, on February 25, 2016, this Court entered an Order on the parties’

21 stipulation setting a briefing schedule that, in part, requires Defendants to file and serve their
22 motions to dismiss, answers or other responses to the CC by April 11, 2016 (Dkt. No. 41)
23 (“Scheduling Order”);
24

6.

WHEREAS, the Stipulating Defendants have not yet answered or otherwise

25 responded to the CC;
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7.

WHEREAS, on April 1, 2016, Lead Plaintiff filed a Notice of Motion and Motion for

27 Leave to File the [Proposed] First Amended Complaint for Violation of the Federal Securities Laws,
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STIP AND [PROP] ORDER RE FILING OF PLAINTIFF’S [PROPOSED] FIRST AMENDED
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1 attaching the [Proposed] First Amended Complaint for Violation of the Federal Securities Laws
2 (“FAC”) (Dkt. Nos. 43-44);
3

8.

WHEREAS, the proposed FAC adds new defendants, including outside directors

4 Katherine August-deWilde, Kenneth Goldman, John H. Kispert, and Wayne B. Lowell; and
5 underwriters J.P. Morgan Securities LLC, Morgan Stanley & Co., LLC, Deutsche Bank Securities
6 Inc., Jefferies LLC, Stifel, Nicolaus & Company, Incorporated, and William Blair & Company,
7 L.L.C. (the “Underwriter Defendants”); and asserts new claims under the Securities Act of 1933
8 (Dkt. No. 44-1);
9

9.

WHEREAS, the Underwriter Defendants have not been served with a summons and

10 FAC nor executed waivers of the service of a summons under Fed. R. Civ. P. 4(d);
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10.

WHEREAS, under Fed. R. Civ. P. Rule 15(a)(2), Lead Plaintiff may amend the CC

12 with Defendants’ written consent;
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11.

WHEREAS, counsel for Lead Plaintiff has conferred with counsel for the Stipulating

14 Defendants regarding the filing of the FAC;
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12.

WHEREAS, the Stipulating Parties have agreed to the filing of Lead Plaintiff’s FAC,

16 as of April 1, 2016, on the condition that Stipulating Defendants are not thereby waiving any of their
17 rights, positions at law or equity, or defenses;
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13.

WHEREAS Lead Plaintiff has no current intent to seek leave to file another amended

19 pleading prior to a Court decision on any motion to dismiss;
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14.

WHEREAS the proposed schedule is intended to serve judicial efficiency and

21 economy by providing a uniform briefing schedule; and
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15.

WHEREAS, the Stipulating Parties seek the Court’s approval of a modification to the

23 Scheduling Order, which modification (i) provides that the Stipulating Defendants must now answer
24 or otherwise respond to the FAC no later than June 20, 2016, and (ii) adjusts the remaining dates in
25 the Scheduling Order accordingly.
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STIPULATION

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THE STIPULATING PARTIES STIPULATE AND AGREE AS FOLLOWS:

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1.

Lead Plaintiff’s FAC shall be deemed filed with the Court as of April 1, 2016 (Dkt.

4 No. 44-1) and shall serve as the operative complaint;
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2.

So as to ensure that all Stipulating Defendants are served and aligned to a unified

6 briefing schedule, the Stipulating Defendants shall answer or otherwise respond to the FAC no later
7 than June 20, 2016;
8

3.

Lead Plaintiff’s opposition(s) to the Stipulating Defendants’ answers or motion(s) to

9 dismiss the FAC shall be filed no later than sixty (60) days from the date the Stipulating Defendants’
10 answers or motions are filed;
11

4.

The Stipulating Defendants’ reply briefs in support of their motion(s) to dismiss the

12 FAC shall be filed no later than thirty (30) days from the date Lead Plaintiff files its opposition(s) to
13 the Stipulating Defendants’ motion(s) to dismiss;
14

5.

The Stipulating Parties have agreed that, with leave of the Court, in light of the new

15 allegations and claims, including claims under the Securities Act of 1933, the Stipulating Parties
16 shall have the following page limits for their moving papers, oppositions, and replies:
17

(a)

Defendants TriNet, Goldfield, and Porter shall have thirty (30) pages for their

18 moving brief; Lead Plaintiff shall have thirty (30) pages for his opposition to such brief; and TriNet,
19 Goldfield, and Porter shall have fifteen (15) pages for their reply to any such opposition;
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(b)

Outside Director Defendants August-deWilde, Babinec, Bingham, Hodgson,

21 Goldman, Kispert, and Lowell shall have ten (10) pages for their moving brief; Lead Plaintiff shall
22 have ten (10) pages for his opposition to such brief; and the Outside Director Defendants shall have
23 five (5) pages for their reply to any such opposition;
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(c)

General Atlantic LLC shall have ten (10) pages for its moving brief; Plaintiff

25 shall have ten (10) pages for his opposition to such brief; and General Atlantic shall have five (5)
26 pages for its reply to any such opposition; and
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(d)

The brief(s) of any additional defendants who appear or are served after the

2 date of this Stipulation, shall not be included within this briefing schedule or the above page
3 limitations; the Stipulating Parties expect that those additional defendants shall separately meet and
4 confer with Lead Plaintiff regarding the briefing schedule and page limit for their brief(s).
5

6.

Given that the Initial Case Management Conference currently scheduled for August

6 24, 2016 would fall in the middle of briefing on any motions to dismiss, that Conference shall be
7 continued to November 10, 2016, or as soon thereafter as the Conference may be heard, and any
8 associated deadlines under the Federal Rules of Civil Procedure and Local Rules (including ADR
9 deadlines) shall be adjusted accordingly;
10

7.

This Stipulation is entered into without prejudice to any party seeking any interim

8.

Nothing in this Stipulation shall be construed as a waiver of any of the Stipulating

11 relief;
12

13 Defendants’ rights or positions in law or equity, including with respect to the FAC, or as a waiver of
14 any defenses that the Stipulating Defendants would otherwise have, including, without limitation,
15 jurisdictional defenses, or as a waiver of any Stipulating Defendants’ right not to file a motion to
16 dismiss;
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9.

The Stipulating Parties have only sought two previous extensions of time in this

10.

The Stipulating Parties do not seek to reset these dates for the purpose of delay, and

18 action;
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20 the proposed new dates will not have an effect on any pre-trial and trial dates as the Court has yet to
21 schedule these dates; and
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11.

The Stipulating Parties seek the Court’s approval of this Order on the basis that it

2 would be an inefficient use of the Court’s time and resources to consider motions to dismiss at
3 varying times and conduct the Initial Case Management Conference prior to the Stipulating
4 Defendants’ filing of responsive pleadings, if any, and any replies to such pleadings.
5 DATED: April 13, 2016
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ROBBINS GELLER RUDMAN
& DOWD LLP
SHAWN A. WILLIAMS
DANIEL J. PFEFFERBAUM
NADIM G. HEGAZI
KENNETH J. BLACK

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9
s/ Shawn A. Williams
SHAWN A. WILLIAMS

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Post Montgomery Center
One Montgomery Street, Suite 1800
San Francisco, CA 94104
Telephone: [phone]
415/288-4534 (fax)

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Lead Counsel for Plaintiff

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HOLZER & HOLZER, LLC
COREY D. HOLZER
1200 Ashwood Parkway, Suite 410
Atlanta, GA 30338
Telephone: [phone]
770/392-0029 (fax)

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Additional Counsel for Plaintiff
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20 DATED: April 13, 2016
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ROPES & GRAY LLP
RICHARD L. GALLAGHER
ANNE JOHNSON PALMER
MATTHEW A. TOLVE

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s/ Richard L. Gallagher
RICHARD L. GALLAGHER
Three Embarcadero Center
San Francisco, CA 94111-4006
Telephone: [phone]
415/315-6350 (fax)

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STIP AND [PROP] ORDER RE FILING OF PLAINTIFF’S [PROPOSED] FIRST AMENDED
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Attorneys for Defendants TriNet Group, Inc.,
Burton M. Goldfield, William Porter, Martin
Babinec, H. Raymond Bingham, David C.
Hodgson, Katherine August-deWilde, Kenneth
Goldman, John H. Kispert, and Wayne B. Lowell

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5 DATED: April 13, 2016
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PAUL, WEISS, RIFKIND, WHARTON &
GARRISON LLP
ALLAN J. ARFFA (admitted pro hac vice)
CHARLES E. DAVIDOW (admitted pro hac vice)
AUSTIN C. THOMPSON (admitted pro hac vice)

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s/ Allan J. Arffa
ALLAN J. ARFFA

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1285 Avenue of the Americas
New York, NY 10019-6064
Telephone: [phone]
212/492-0203 (fax)

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SHARTSIS FRIESE LLP
ARTHUR J. SHARTSIS
LISA A. JACOBS
1 Maritime Plaza 18th Floor
San Francisco, CA 94111
Telephone: [phone]
415/421-2922 (fax)

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Attorneys for Defendant General Atlantic LLC

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Certificate Pursuant to Local Rule 5-1(i)(3)
I, Shawn A. Williams, am the ECF User whose identification and password are being used to

20 file the STIPULATION AND [PROPOSED] ORDER RE FILING OF PLAINTIFF’S FIRST
21 AMENDED COMPLAINT AND BRIEFING SCHEDULE TO RESPOND TO FIRST AMENDED
22 COMPLAINT. In compliance with Local Rule 5-1(i)(3), I hereby attest that Richard L. Gallagher
23 and Allan J. Arffa have concurred in this filing.
24 Dated: April 13, 2016
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s/ Shawn A. Williams
SHAWN A. WILLIAMS

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STIP AND [PROP] ORDER RE FILING OF PLAINTIFF’S [PROPOSED] FIRST AMENDED
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*

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*

ORDER
PURSUANT TO STIPULATION, IT IS SO ORDERED.

4 DATED:
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*

_________________________________________
THE HONORABLE BETH LABSON FREEMAN
UNITED STATES DISTRICT JUDGE

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CERTIFICATE OF SERVICE
I hereby certify that on April 13, 2016, I authorized the electronic filing of the foregoing with

3 the Clerk of the Court using the CM/ECF system which will send notification of such filing to the
4 e-mail addresses denoted on the attached Electronic Mail Notice List, and I hereby certify that I
5 caused to be mailed the foregoing document or paper via the United States Postal Service to the non6 CM/ECF participants indicated on the attached Manual Notice List.
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I certify under penalty of perjury under the laws of the United States of America that the

8 foregoing is true and correct. Executed on April 13, 2016.
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s/ Shawn A. Williams
SHAWN A. WILLIAMS

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ROBBINS GELLER RUDMAN
& DOWD LLP
Post Montgomery Center
One Montgomery Street, Suite 1800
San Francisco, CA 94104
Telephone: [phone]
415/288-4534 (fax)
E-mail: [e-mail]

CAND-ECF-

Page 1 of 1

Mailing Information for a Case 5:15-cv-03625-BLF Welgus v. Trinet Group, Inc.
et al
Electronic Mail Notice List
The following are those who are currently on the list to receive e-mail notices for this case.
Allan J Arffa
[e-mail],[e-mail]
Kenneth Joseph Black
[e-mail]
Charles E. Davidow
[e-mail],[e-mail]
Richard L. Gallagher
[e-mail],[e-mail],[e-mail],[e-mail]
Nadim Gamal Hegazi
[e-mail],[e-mail]
Lisa Ann Jacobs
[e-mail],[e-mail],[e-mail]
Anne Johnson Palmer
[e-mail],[e-mail]
Brian O. O'Mara
bo'[e-mail],[e-mail],[e-mail]
Daniel Jacob Pfefferbaum
[e-mail],[e-mail],[e-mail],[e-mail]
Arthur Joel Shartsis
[e-mail],[e-mail],[e-mail],[e-mail]
Austin C Thompson
[e-mail],[e-mail]
Matthew Austen Tolve
[e-mail],[e-mail],[e-mail]
Shawn A. Williams
[e-mail],[e-mail],[e-mail],[e-mail],[e-mail]

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4/13/2016