Normally when a public company is involved in litigation, it discloses what it must to shareholders via press releases and 8-Ks, and then only material developments. In light of its inability to turn a profit, Overstock.com, Inc. (NASDAQ: OSTK) has taken to issuing press releases announcing the back and forth in its lawsuit against Gradient Analytics, an independent research outfit Overstock CEO Patrick Byrne claims was involved in a campaign to beat down the company's stock.

Interestingly, Overstock has not been filing 8-Ks about these developments, indicating that they really aren't material -- just chest-pounding press releases designed to hype the stock.

Yesterday Overstock put out a press release: Overstock.com Announces Favorable Court Ruling in Rocker/Gradient Case, announcing that a court "ruled favorably on a demurrer brought by Overstock Chairman & CEO Patrick Byrne , dismissing on statute of limitations grounds three causes of action, which Gradient had asserted as counterclaims against Byrne personally."

But Gradient punched back today with it's own chest-pounding press release: Court Rules That Gradient Analytics' Cross-Complaint May Proceed Against Overstock.com, Inc. on All Counts: "We are very pleased with the court's ruling," stated Gradient's CEO Brad Forst, "and eagerly await the opportunity at trial to present all the evidence of Overstock's and Byrne's wrongdoing to a jury."

This mess seems destined to go to trial, and it should be a landmark case about free speech and corporate bullying/analyst intimidation.