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You must submit the settlement Proof form attached below, in order to participate in this settlement. There is a strict deadline of May 2, 2019 by which all claims must be submitted. The instructions for submitting are included in the Proof and the Notice files attached below for your download. DO NOT SEND THE FORMS TO THE SHAREHOLDERS FOUNDATION, INC.
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To have your information reviewed for options and to receive notifications about this case, please send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Lawsuit Overview
Settlement Overview
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December 13, 2018 - The court preliminarily approved the settlement.
December 4, 2018 - A stipulation of settlement was filed by the parties.
December 14, 2017 - The court denied the defendants' motion to dismiss.
June 5, 2017 - A motion to dismiss the consolidated complaint was filed.
May 5, 2017 - A consolidated complaint was filed.
December 23, 2016 (Shareholders Foundation) - An investor in shares of Rent-A-Center Inc (NASDAQ:RCII) filed a lawsuit in the U.S. District Court for the Eastern District of Texas over alleged violations of Federal Securities Laws by Rent-A-Center Inc in connection with certain allegedly false and misleading statements made between July 27, 2015, and October 10, 2016.
According to the complaint the plaintiff alleges on behalf of purchasers of Rent-A-Center Inc (NASDAQ:RCII) common shares between July 27, 2015, and October 10, 2016, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between July 27, 2015, and October 10, 2016, the Defendants failed to disclose that Rent-A-Center could not properly implement its new point of sale system (“POS”), that, the POS was performing extremely poorly, including several instances where the system suffered complete outages, that as a result, the Company’s Acceptance Now credit system could not be implemented properly, that the Company could not meet revenue and profitability guidance provided to investors, that, as such, the Company would need to revise its prior guidance, and that, as a result of the foregoing, Defendants’ statements about Rent-A-Center’s business, operations, and prospects, were false and misleading and/or lacked a reasonable basis. Rent-A-Center Inc reported that its annual Total Revenue rose from over $3.15 billion in 2014 to over $3.27 billion in 2015 while its Net Income of $96.42 million in 2014 declined to a Net Loss of $866.63 million in 2015. On July 28, 2016, Rent-A-Center Inc announced that issues with its new Point-of-Sale (“POS”) system were fixed and alleviated.
On October 11, 2016 Rent-A-Center Inc announced it was experiencing issues with the POS system which would have a negative effect on its sales.
On December 23, 2016, NASDAQ:RCII shares closed at $11.54 per share.