Channel-stuffing

A few years ago, it seems like nobody knew what channel-stuffing was -- I remember having to explain the term. Now it seems to be not only well-known, but a popular basis for class-action lawsuits. I've come across two recently:

In this one, a law firm is soliciting people to join a suit against Amkor, a $2b chip fabricator:

"... the Defendants failed to disclose the following materially adverse facts to be market: (1) that the Company was shipping inventory to customers far in excess of customer demand; (2) as a result of this deliberate channel stuffing, the Company undermined the future demand for its products ..."

And here, a federal appeals court reinstated a suit against Tellabs, a $2b telecoms equipment maker:

In fact, the suit alleged, Tellabs was shipping Titan 5500 products that hadn't been ordered--a practice called "channel stuffing"--in order to inflate the company's sales revenue.