-Update Jan 2010- According to a press release from Switch and Data (NASDAQ: SDXC), it "announced that it and the other defendants have entered into a memorandum of understanding with plaintiffs' counsel to settle three purported class action lawsuits filed regarding the proposed merger between Switch and Data, Equinix, Inc. and Sundance Acquisition Corporation, a wholly-owned subsidiary of Equinix. In connection with this settlement, the three lawsuits and all claims asserted therein would be dismissed with prejudice, including the claims brought against Switch and Data and its directors. Switch and Data and the other defendants deny all of the allegations in the lawsuits and believe that the existing disclosures regarding the proposed merger are appropriate under the law. Nevertheless, Switch and Data and the other defendants have agreed to settle the putative class action lawsuits in order to eliminate the risk, burden and expense of further litigation, to fully resolve all claims raised in the lawsuits, to permit the merger to be consummated without the risk of injunctive relief or delay, and to permit Switch and Data's stockholders to receive the consideration provided for in the merger.

Switch and Data today filed with the Securities and Exchange Commission a Current Report on Form 8-K to announce the settlement of the stockholder class action lawsuits and to also supplement and amend the Proxy Statement dated December 21, 2009, as previously supplemented on December 23, 2009. For further information, please see the Form 8-K, which is available at www.sec.gov or on Switch and Data's website at www.switchanddata.com. Under the memorandum of understanding, the parties will seek approval of the settlement in the Florida state court; simultaneously, the parties will agree to stay the actions pending in the Delaware Chancery Court and the United States District Court for the Middle District of Florida. The proposed settlement is conditional upon, among other things, the execution of an appropriate stipulation of settlement, consummation of the merger and final approval of the proposed settlement by the Florida state court. The proposed settlement contemplates that plaintiffs' counsel will apply to the Florida state court for an award of attorneys' fees and costs in an aggregate amount of $900,000, and that the defendants will not oppose or undermine this application. These attorneys' fees and costs will not be deducted from the merger consideration. "

12/08/2009- A shareholder of Switch and Data Facilities Co. Inc. has filed a lawsuit in the U.S. District Court for the Middle District of Florida on behalf of current investors Switch & Data Facilities Company, Inc. (Public, NASDAQ:SDXC), who purchased the shares before October 21, 2009, alleging witch & Data Facilities Company and its executives violated the Securities Exchange Act by agreeing to sell the business to Equinix Inc. in a deal valued at $689 million.

According to the lawsuit the plaintiff alleges breaches of fiduciary duty by the Board of Directors of Switch & Data Facilities Company, Inc. (Public, NASDAQ:SDXC) arising out of their attempt to sell Switch & Data Facilities (SDXC) to Equinix, Inc. (Nasdaq: EQIX). On October 21, 2009 Switch & Data Facilities Company, Inc. (Nasdaq: SDXC) and Equinix, Inc. (Nasdaq: EQIX) announced that they have entered a definitive agreement for Equinix to acquire Switch and Data in a transaction valued at approximately $689 million in cash and stock, based on yesterday’s market close. Under the terms of the agreement, Switch and Data stockholders will have the opportunity to elect to receive either 0.19409 shares of Equinix stock or $19.06 in cash for each share of Switch and Data stock.

According to a previous an investigation by a law firm “the transaction appears to be unfair” to current investors of Switch & Data Facilities Company, Inc. (Public, NASDAQ:SDXC) because the “offer to purchase Switch & Data Facilities Company, Inc. (SDXC) appears opportunistically timed to take advantage of the current economic downturn”. The investigation “concerns whether the Switch & Data Facilities Board of Directors breached their fiduciary duties to SDXC shareholders by agreeing to sell the Company at an unfair price thereby harming SDXC shareholders”, “whether the directors of SDXC may have breached their fiduciary duties by not acting in SDXC shareholders' best interests in connection with the sale process of Switch & Data”, and “the Company may not have adequately shopped itself around before entering into this transaction and, pursuant to this proposed transaction, Equinix, Inc may be underpaying for Switch & Data Facilities Company, thus unlawfully harming SDXC shareholders”.