SAN DIEGO — Robbins Geller Rudman & Dowd LLP announces that purchasers or acquirers of LivePerson, Inc. (NASDAQ: LPSN) securities between May 10, 2022 and March 16, 2023, both dates inclusive (the “Class Period”), have until January 30, 2024 to seek appointment as lead plaintiff of the LivePerson class action lawsuit. Captioned Damri v. LivePerson, Inc., No. 23-cv-10517 (S.D.N.Y.), the LivePerson class action lawsuit charges LivePerson and certain of its top executive officers with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of the LivePerson class action lawsuit, please provide your information here:
CASE ALLEGATIONS: LivePerson delivers mobile and online messaging solutions through Conversational Artificial Intelligence. In February 2022, LivePerson acquired WildHealth, Inc., a precision medicine service, according to the complaint. The complaint further alleges that in November 2022, unbeknownst to investors, WildHealth received notice that reimbursements for its services rendered under a Medicare demonstration program related to COVID-19 testing (the “Program”) were suspended pending further review.
The LivePerson class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) LivePerson’s disclosure controls and procedures contained a material weakness; (ii) accordingly, LivePerson maintained deficient internal controls over its financial reporting; (iii) as a result, LivePerson’s third quarter 2022 financial statements failed to disclose the suspension of WildHealth’s Medicare reimbursements in connection with the Program and the resulting negative impact on LivePerson’s future revenues; and (iv) accordingly, LivePerson had overstated its future financial position and/or prospects.
The LivePerson class action lawsuit further alleges that on February 28, 2023, LivePerson revealed that, as a result of LivePerson’s acquisition of WildHealth, “[LivePerson] requires more time to perform additional review and testing of revenue recognition with respect to a recently discontinued WildHealth program, for which Medicare reimbursement is suspended pending further governmental review, and to complete its in-process review of internal controls and procedures.” On this news, the price of LivePerson stock fell more than 14%, according to the complaint.
Then, as the complaint further alleges, on March 6, 2023, LivePerson disclosed that “the referenced review of WildHealth revenue is anticipated to affect fourth quarter 2022 revenue attributable to WildHealth’s participation in a Medicare demonstration program, due to suspension in November 2022 of Medicare reimbursements under the program and pending further governmental review.” The LivePerson class action lawsuit alleges that on this news, the price of LivePerson stock fell nearly 7%.
Finally, the complaint further alleges that on March 16, 2023, LivePerson revealed that “due to certain control deficiencies which aggregated to a material weakness in the Company’s internal control over financial reporting . . ., our disclosure controls and procedures were not effective as of December 31, 2022” and “[t]he control deficiencies, which in aggregate constitute a material weakness, were identified in connection with the Company’s previously disclosed review of certain transactions related to its subsidiary WildHealth.” The LivePerson class action lawsuit alleges that on this news, the price of LivePerson stock fell nearly 58%.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired LivePerson securities during the Class Period to seek appointment as lead plaintiff of the LivePerson class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the LivePerson class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the LivePerson class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the LivePerson class action lawsuit.
ABOUT ROBBINS GELLER: Robbins Geller is one of the world’s leading complex class action firms representing plaintiffs in securities fraud cases. The Firm is ranked #1 on the most recent ISS Securities Class Action Services Top 50 Report for recovering more than $1.75 billion for investors in 2022 – the third year in a row Robbins Geller tops the list. And in those three years alone, Robbins Geller recovered nearly $5.3 billion for investors, more than double the amount recovered by any other plaintiffs’ firm. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig. Please visit the following page for more information:
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