Governance & Derivative

ACADIA Pharmaceuticals Inc. (NasdaqGS: ACAD).

Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), announces that KSF has commenced an investigation into ACADIA Pharmaceuticals Inc. (NasdaqGS: ACAD).  

On July 20, 2020, the Company announced that the FDA had accepted for filing its supplemental new drug application (“sNDA”) for its drug candidate, pimavanserin, for the treatment of dementia-related psychosis (“DRP”). Thereafter, the company repeatedly stated the FDA had not identified any potential review issues and reiterated the drug’s efficacy.  Then, on April 5, 2021, the Company disclosed that the FDA had rejected the sNDA, citing a lack of statistical significance regarding some of the subgroups of dementia and inadequate numbers of patients with some less common dementia subtypes.

Thereafter, the Company and certain of its executives were sued in a securities class action lawsuit, charging them with failing to disclose material information during the Class Period, violating federal securities laws. Recently, the court presiding over the case denied the Company’s motion to dismiss, allowing the case to move forward. 

KSF’s investigation is focusing on whether ACADIA’s officers and/or directors breached their fiduciary duties to its shareholders or otherwise violated state or federal laws.  If you have information that would assist KSF in its investigation, or have been a long-term holder of ACADIA shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-877-515-1850 or email KSF Managing Partner Lewis Kahn (lewis.kahn@ksfcounsel.com), or fill out the form on this page.