RADNOR, Pa.--(BUSINESS WIRE)--The law firm of Kessler Topaz Meltzer & Check, LLP announces that an investor class action lawsuit has been filed against LendingClub Corporation (NYSE: LC) (“LendingClub”) on behalf of purchasers of LendingClub publicly traded securities between February 28, 2018 and April 25, 2018, inclusive (the “Class Period”).
LendingClub investors who purchased securities during the Class Period may, no later than June 29, 2018, seek to be appointed as a lead plaintiff representative of the class.
Investors who wish to discuss this action or request additional information about the lawsuit are encouraged to contact Kessler Topaz Meltzer & Check attorneys James Maro, Jr. or Adrienne Bell at (888) 299-7706 or online at: https://www.ktmc.com/new-cases/lendingclub-corporation-2018#join.
According to the complaint, LendingClub operates an online marketplace platform that connects borrowers and investors in the United States.
The Class Period begins on February 28, 2015, the day after LendingClub filed its annual report on Form 10-K for the year ended December 31, 2014 (“2014 10-K”) with the SEC which provided LendingClub’s annual financial results and position. The 2014 10-K stated LendingClub believed that all installment loans offered through its marketplace featured a fixed rate that was “clearly” disclosed to the borrower and which contained “no hidden fees.”
On April 25, 2018, the Federal Trade Commission (“FTC”) announced in a press release that it had filed a complaint against LendingClub alleging violations of, inter alia, the FTC Act for falsely promising consumers they would receive a loan with “no hidden fees[,]” and the Gramm-Leach-Bliley Act for failing to provide customers with a clear and conspicuous privacy notice so that each customer could reasonably be expected to receive actual notice. The press release stated, in relevant part: “The Federal Trade Commission has charged the LendingClub Corporation with falsely promising consumers they would receive a loan with “no hidden fees,” when, in actuality, the company deducted hundreds or even thousands of dollars in hidden up-front fees from the loans.”
Following this news, shares of LendingClub fell $.49 per share, or over 15% from its previous closing price to close at $2.77 per share on April 25, 2018.
LendingClub investors may, no later than June 29, 2018, seek to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check, or other counsel, or may choose to do nothing and remain an absent class member. A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. In order to be appointed as a lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class in the action. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
Kessler Topaz Meltzer & Check prosecutes class actions in state and federal courts throughout the country. Kessler Topaz Meltzer & Check is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world. The firm represents investors, consumers and whistleblowers (private citizens who report fraudulent practices against the government and share in the recovery of government dollars). The complaint in this action was not filed by Kessler Topaz Meltzer & Check. For more information about Kessler Topaz Meltzer & Check, please visit www.ktmc.com.