December 23, 2020 - A consolidated complaint was filed.

April 7, 2020 - An investor in shares of Zoom Video Communications, Inc. (NASDAQ: ZM) filed a lawsuit in the U.S. District Court for the Northern District of California over alleged violations of Federal Securities Laws by Zoom Video Communications, Inc. in connection with certain allegedly false and misleading statements made between April 18, 2019 and April 6, 2020.

San Jose, CA based Zoom Video Communications, Inc. provides a video-first communications platform that delivers changes how people interact primarily in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. It connects people through frictionless video, voice, chat, and content sharing.

On March 22, 2019, Zoom Video Communications, Inc filed a registration statement on Form S-1 with the SEC in connection with its initial public offering (“IPO”), which, after several amendments, was declared effective by the SEC on April 17, 2019.

On April 18, 2019, Zoom Video Communications, Inc filed a prospectus on Form 424B4 with the SEC in connection with its IPO, which purported to provide information necessary for investors to consider before partaking in its IPO and purchasing the Company’s newly publicly-issued stock.

Then, on March 31, 2020,it was reported that Zoom Video Communications, Inc's video conferencing software is not, in fact, end-to-end encrypted between meeting participants, contrary to the Company's suggestion.

Then, on April 1, 2020, post-market, citing review of an internal memo, it was reported that Space Exploration Technologies Corp. ( SpaceX ) had banned its employees from using Zoom's video conferencing software, due to significant privacy and security concerns. Shares of Zoom Video Communications, Inc. (NASDAQ: ZM) declined from $164.94 per share on March 23, 2020, to as low as $108.53 per share on April 6, 2020.

According to the complaint the plaintiff alleges on behalf of purchasers of Zoom Video Communications, Inc. (NASDAQ: ZM) common shares between April 18, 2019 and April 6, 2020, that the defendants violated Federal Securities Laws.

More specifically, the plaintiff claims that between April 18, 2019 and April 6, 2020, the Defendants made false and/or misleading statements and/or failed to disclose that Zoom had inadequate data privacy and security measures, that contrary to Zoom’s assertions, the Company’s video communications service was not end-to-end encrypted, that as a result of all the foregoing, users of Zoom’s communications services were at an increased risk of having their personal information accessed by unauthorized parties, including Facebook, that usage of the Company’s video communications services was foreseeably likely to decline when the foregoing facts came to light, and that as a result, the Company’s public statements were materially false and misleading at all relevant times.