Expected timeline
Because the filing notice only announces that investors with âsubstantial lossesâ can become lead plaintiffs, the case is still in the early preâfiling stage. In a securitiesâfraud class action the typical schedule after a Lead Plaintiff is identified is:
| Phase | Approx. Duration* |
|---|---|
| Election of lead plaintiff & amendment of the complaint | 1â2âŻmonths |
| Initial âcaseâmanagement conferenceâ with the judge (setting a discovery calendar) | 1â2âŻmonths |
| Discovery (document requests, depositions, expert disclosure) | 6â12âŻmonths |
| Motion practice & possible settlement negotiations | 3â9âŻmonths |
| Trial preparation or settlement conference | 3â6âŻmonths |
| If it goes to trial, the case could run 12â18âŻmonths from filing to a verdict. |
*These ranges are based on historical federal securitiesâfraud cases; they can be compressed if the parties reach a settlement early, or extended if protracted discovery or litigative disputes arise.
Given that the leadâplaintiff election and complaint amendment will likely be completed within the next 1â2âŻmonths, investors should expect the first substantive discovery deadline to fall betweenâŻQ4âŻ2025 and Q1âŻ2026. A settlement, if it occurs, would most plausibly be announced 12â18âŻmonths after the complaint is filed (midâ2026 to earlyâŻ2027). If the case proceeds to trial, a judgment would not be expected until lateâŻ2027 or later.
Trading implications
- Shortâterm (next 1â2âŻmonths): The market will still be absorbing the news of the classâaction opportunity; volume and volatility may rise modestly as retail investors position themselves toward the lawsuit. The stock may see a lowâtoâmidâ$Xârange bounce on the prospect of a potential âwindâdownâ catalyst, but the upside is capped without clear settlement terms.
- Midâterm (midâ2025 to earlyâŻ2026): As discovery begins, any material disclosuresâe.g., dataâroom releases or subpoenaed internal communicationsâcould trigger price moves. Tightârange trading is likely; a breakout to the highâside would be tied to a positive settlement news flow, while a downward break could be triggered by adverse investigative findings.
- Longâterm (2026â2027): If a settlement is reached, expect a sharp, shortâduration rally (potentially 15â30âŻ% depending on settlement size) followed by a quick profitâtaking run. Conversely, a trial verdict unfavorable to Biohaven could produce a prolonged downtrend. Position sizing should therefore be modest, with stopâlosses placed near the recent swing low to protect against the âsettlementâorâtrialâ volatility that typically characterizes biotech securitiesâfraud cases.