HAGENS BERMAN Encourages LivePerson (LPSN) Investors with Substantial Losses to Contact Firm’s Attorneys Before June 23rd Application Deadline in Securities Fraud Class Action
News provided byACCESSWIRE
May 26, 2023, 1:00 PM ET
SAN FRANCISCO, CA / ACCESSWIRE / May 26, 2023 / Hagens Berman urges LivePerson, Inc. (NASDAQ:LPSN) investors who suffered substantial losses to submit your losses now.
Class Period: May 10, 2022 - March 16, 2023
Lead Plaintiff Deadline: June 23, 2023
Contact An Attorney Now: LPSN@hbsslaw.com
LivePerson, Inc. (LPSN) Securities Fraud Class Action:
The complaint challenges LivePerson's repeated assurances that it maintained effective internal disclosure controls and hyping of its WildHealth business.
According to the complaint, Defendants misrepresented and concealed that: (1) LivePerson failed to address any material weaknesses with its internal controls; (2) WildHealth received a notice that Medicare was suspending reimbursements for services rendered; and (3) as a result, LivePerson's Q4 2022 revenues would be adversely affected.
The truth began to emerge on Feb. 28, 2023, when the company announced it would not timely file its annual financial report. The company explained that it "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[.]"
Then, on Mar. 15, 2023, LivePerson reported dismal Q4 2022 financial results and a weak 2023 outlook. The company attributed its disastrous performance to Medicare's reimbursement suspension, revealed that WildHealth was notified of it in Nov. 2022, and announced it recorded a reserve for revenue associated with WildHealth services delivered in Q4 2022 under the Medicare demonstration program.
Finally, on Mar. 16, 2023, LivePerson filed its annual financial report and revealed that there are material weaknesses in its internal control over financial reporting related to its WildHealth subsidiary transactions.
These events sent the price of LivePerson shares sharply lower.
"We're focused on investors' losses and proving LivePerson misled investors about whether WildHealth was providing reimbursable services under the Medicare program," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in LivePerson and have substantial losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding LivePerson should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email LPSN@hbsslaw.com.
# # #
About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation law firm focusing on corporate accountability through class-action law. The firm is home to a robust securities litigation practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and fraud. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Reed Kathrein, 844-916-0895
SOURCE: Hagens Berman Sobol Shapiro LLP
NOTE: This content is not written by or endorsed by "WANE", its advertisers, or Nexstar Media Inc.