US shareholders can sue

Parmalat Collecchio, Italy: A US court has ruled that Italian dairy company Parmalat, which reformed in October 2005 following an accounting scandal, can be sued by US shareholders seeking damages against the old company. Parmalat had asked for a lawsuit brought by the shareholders seeking compensation to be dismissed, but a US federal judge said that, under Italian law, the new Parmalat inherited the liabilities of the previous company. Parmalat said it would appeal against the ruling.