NEW YORK, NY / ACCESSWIRE / December 8, 2020 / Bernstein Liebhard, a nationally acclaimed investor rights law firm, reminds investors of the deadline to file a lead plaintiff motion in a securities class action lawsuit that has been filed on behalf of investors that purchased or acquired the securities of K12 Inc., ("K12" or the "Company") (NYSE:LRN) between April 27, 2020 and September 18, 2020 (the "Class Period"). The lawsuit filed in the United States District Court for the Eastern District of Virginia alleges violations of the Securities Exchange Act of 1934.
If you purchased K12 securities, and/or would like to discuss your legal rights and options please visit K12 Shareholder Lawsuit or contact Matthew E. Guarnero toll free at (877) 779-1414 or [email protected].
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operations and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose: (1) K12 lacked the technological capabilities, infrastructure, and expertise to support the increased demand for virtual and blended education necessitated by the global pandemic; (2) K12 lacked adequate cyberattack protocols and protections to prevent the disabling of its computer systems; (3) K12 was unable to provide the necessary levels of administrative support and training to teachers, students, and parents; (4) and K12's officers lacked a reasonable basis for their positive statements about the Company's business, operations, and prospects.
On August 26, 2020, reports emerged that K12's training for teachers in Miami-Dade County Public Schools, one of the largest school districts in the country, had been ineffective and unacceptable. On this news, K12's shares fell by 7% over the course of two trading days.
When classes in Miami-Dade started on August 31, 2020, K12's platform experienced major technical issues, disruptions, and a series of cyberattacks. In response, the district's superintendent revealed that the district had never executed its $15.3 million contract with K12. On this news, the price of K12 shares fell by 10.5% over the course of two trading days.
A week later the Miami-Dade County Public School's Board voted to terminate their contract with K12. On this news, the price of K12 common shares once again fell drastically, by 11.5% to close at $30.55 on September 10, 2020.
If you wish to serve as lead plaintiff, you must move the Court no later than January 19, 2021. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Your ability to share in any recovery doesn't require that you serve as lead plaintiff. If you choose to take no action, you may remain an absent class member.
If you purchased K12 securities, and/or would like to discuss your legal rights and options please visit https://www.bernlieb.com/cases/k12inc-lrn-shareholder-class-action-lawsuit-stock-fraud-333/apply/ or contact Matthew E. Guarnero toll free at (877) 779-1414 or [email protected].
Since 1993, Bernstein Liebhard LLP has recovered over $3.5 billion for its clients. In addition to representing individual investors, the Firm has been retained by some of the largest public and private pension funds in the country to monitor their assets and pursue litigation on their behalf. As a result of its success litigating hundreds of lawsuits and class actions, the Firm has been named to The National Law Journal's "Plaintiffs' Hot List" thirteen times and listed in The Legal 500 for ten consecutive years.
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SOURCE: Bernstein Liebhard LLP