The Law Offices of Frank R. Cruz Reminds Investors of Looming Deadline in the Class Action Lawsuit Against K12 Inc. (LRN)
Shareholders with a loss of $ 100,000 or more are encouraged to contact the company
Frank R. Cruz’s law firm is reminding investors of the upcoming January 19, 2021 deadline to file a lead plaintiff motion in the case filed on behalf of investors, K12 Inc. (“K12” or the “Company “) (NYSE: LRN) securities between April 27, 2020 and September 18, 2020 inclusive (the” Class Period “).
If you are a shareholder who has suffered a loss, click here to participate.
On August 26, 2020, reports surfaced that K12’s teacher training on its online education platform in Miami-Dade County’s public schools, one of the largest school districts in the country, was ineffective and “unacceptable”.
In this news, the company’s stock price fell $ 5.87, or 13.5%, in two trading days, closing at $ 37.70 on August 27, 2020.
On August 31, 2020, when classes began in Miami-Dade, the K12 platform experienced major technical issues, disruptions and a number of cyberattacks. During a district committee meeting to discuss issues with the K12 platform, the district superintendent announced that the district had never entered into its $ 15.3 million contract with K12.
In this news, the price of K12 shares fell $ 3.96, or 10.2%, in two trading days, closing at $ 34.89 on September 3, 2020.
A week later, the Miami-Dade County Public Schools Board voted to terminate its contract with K12, amid overwhelming complaints from parents and teachers about K12’s platform and curriculum.
In that news, the company’s stock price fell $ 3.21, or 9.5%, to close at $ 30.55 on September 10, 2020.
On September 17, 2020, the Beaufort County School Board also voted to terminate its contract with K12 due to a lack of confidence in K12’s ability to provide educational solutions for the district.
In that news, the company’s stock price fell $ 1.09, or 3.9%, to close at $ 27.21 on September 18, 2020.
The complaint filed alleges that throughout the class period, defendants made materially false and / or misleading statements and did not disclose material adverse facts about the company’s business, business and prospects. Specifically, Defendants have failed to advise investors that: (1) K12 did not have the technology, infrastructure and expertise to support the increased demand for virtual and mixed education required by the global pandemic; (2) K12 lacked adequate cyber-attack protocols and protective measures to prevent the deactivation of its computer systems. (3) K12 was unable to provide teachers, students and parents with the necessary administrative support and training. and (4) as a result, defendants’ statements about their business, operations and prospects were materially false and misleading and / or were unfounded at all relevant times.
The story goes on
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If you purchased or otherwise acquired K12 securities during the class period, you may request the court to appoint you as the lead plaintiff in this alleged class action no later than January 19, 2021. To be a member of the class action, you do not need to take any action at this point. You can keep an attorney of your choice or you can take no action and remain an absent member of the class action. If you would like to learn more about this class action or have any questions about this announcement or your rights or interests in relation to the pending class action, please contact Frank R. Cruz of the Frank R. Cruz law firms, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067, 310-914-5007, email email@example.com or visit our website at www.frankcruzlaw.com. When inquiring by email, please include your mailing address, telephone number and number of shares purchased.
This press release may be viewed as a solicitor advertisement in some jurisdictions under applicable laws and ethical rules.
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The Frank R. Cruz Law Firms, Los Angeles
Frank R. Cruz, 310-914-5007