Dangdang Can’t Shed Arbitration Class in Take-Private Row (1)

E-Commerce China Dangdang Inc. investors can proceed with class arbitration of claims against the online retailer over a take-private merger, a federal district judge ruled.

The tribunal overseeing the arbitration acted within its powers while saying the “plain meaning” and “unambiguous language” of the agreement permitted class proceedings, Judge Katherine Polk Failla said. The case, which alleges Dangdang paid below market to buy back its American Depositary Shares when going private in 2016, remains stayed in the US District Court for the Southern District of New York pending arbitration of the investors’ common-law claims.

• Dangdang argued its clause contained ...