ZI INVESTIGATION ALERT: Johnson Fistel LLP Investigates the Directors and Officers of ZoomInfo Technologies for Breach of Fiduciary Duties

SAN DIEGO--(BUSINESS WIRE)--Johnson Fistel, LLP announces that it is investigating whether certain directors and officers of ZoomInfo Technologies, Inc. (NASDAQ: ZI) breached their fiduciary duties to ZoomInfo and its shareholders.

What can I do? If you are a current long term ZoomInfo shareholder, you may have legal claims that may be brought on behalf of the company, against the company’s directors and officers. If you wish to discuss this notice or your legal rights, please contact lead analyst Jim Baker ([e-mail]) at 619-814-4471. If emailing, please include a phone number.

If you have continuously owned ZoomInfo shares, you can click or copy and paste the link below in a browser to join: https://www.cognitoforms.com/JohnsonFistel/ZoomInfoTechnologiesInc

What is this about? Recently a shareholder class action complaint was filed against the company. According to the complaint, during the class period, defendants failed to disclose to investors: (a) that ZoomInfo’s financial and operational results during the Class Period had been temporarily inflated by the ephemeral effects of the COVID-19 pandemic, which had pulled-forward demand for the Company’s database of digital contact information; (b) that material portions of ZoomInfo’s existing customer base were attempting to either substantially reduce their use of the Company’s product or abandon it altogether; (c) that ZoomInfo had used manipulative and coercive auto-renew policies and threats of litigation to force customers into remaining with the Company for an additional contractual term even though they did not want to; (d) that ZoomInfo’s coercive customer retention tactics had materially damaged the Company’s customer relationships, client franchise, and competitive advantages, and created a hidden demand cliff for customer contract renewals in future periods; (e) that ZoomInfo’s reported accounts receivable were materially comprised of debts owed by high-risk small business customers that had a high likelihood of non-payment and had been induced to transact with the Company through a credit program the Company implemented in 2022; (f) that ZoomInfo’s allowance for credit losses was materially inadequate and understated the risk of non-payments by the Company’s customers; and (g) that as a result of (a)–(f), above, ZoomInfo’s reported revenues, operating income, and customer and retention metrics were materially overstated.

Johnson Fistel LLP’s investigation seeks to determine whether ZoomInfo senior officers or members of its board of directors harmed the company by breaching their fiduciary duties or otherwise violating securities laws in connection with the foregoing alleged conduct.

About Johnson Fistel, LLP: Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York, Georgia, and Colorado. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit http://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes. Services may be performed by attorneys in any of our offices.

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