NASDAQ Faces Lawsuit Over Botched Facebook IPO

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The backlash over Facebook's botched IPO now includes a lawsuit by a Maryland investor against NASDAQ. Phillip Goldberg is seeking class-action status on behalf of all fellow investors who lost money because NASDAQ delayed or otherwise mishandled their buy, sell, or cancellation orders when Facebook went public last Friday. NASDAQ Chief Executive Officer Robert Greifeld acknowledged a technical glitch that delayed the start of trading on Facebook by 30 minutes, saying NASDAQ was "humbly embarrassed" and "this was not our finest hour." But whether Goldberg (and the rest of the class, if it's certified) have an actionable negligence claim remains to be seen. What the investors do have for certain is a stock that's now dipped to $31 a share, or $7 below its $38 IPO price.