Dow Inc. 
DOW investors have launched a class-action lawsuit accusing the chemical manufacturer of misleading shareholders over the financial impact of President Donald Trump’s tariffs. The case, filed at the end of August, marks the first investor challenge tied directly to Trump-era trade leviestariffs that reshaped global supply chains and hit corporate earnings across sectors. Legal analysts believe this lawsuit could be the opening act of a broader wave of tariff-related litigation, as investors revisit how companies communicated their exposure during one of the most turbulent trade cycles in recent memory.
Lawyers say the Dow case fits a familiar pattern: when markets turn volatile, lawsuits follow. During the pandemic, investors targeted companies that downplayed collapsing demand; now, the focus has shifted to trade policy. As tariff shocks ripple through balance sheets, plaintiffs’ attorneys are zeroing in on whether executives overstated their resilience or underplayed the risks. That growing scrutiny has reignited demand for directors-and-officers (D&O) insurancecoverage that shields executives from personal liability if investors claim they were misled. Industry brokers report rising inquiries as boards brace for potential claims tied to inconsistent or overly optimistic public statements.
For Dow, the lawsuit centers on investor claims that management had earlier assured the market it was well positioned to withstand tariffs, only to later cite those same levies when cutting its dividend and reporting weaker quarterly results. The share price slump that followed has become the focal point of investor frustrationand possibly a blueprint for future cases. As one securities lawyer put it, the plaintiffs’ bar tends to work backward from a stock price decline, and in today’s uncertain trade environment, any company exposed to tariffs could find itself next in line.