NEW YORK and SAN DIEGO, May 24, 2018 (GLOBE NEWSWIRE) -- Wolf Haldenstein Adler Freeman & Herz LLP reminds investors that a class action lawsuit has been filed in the United States District Court for the Northern District of California against LendingClub Corporation (NYSE: LC ) (“LendingClub”) on behalf of purchasers of LendingClub publicly traded securities between February 28, 2015 and April 25, 2018, inclusive (the “Class Period”).
Investors who have incurred losses in shares of LendingClub Corporation a re urged to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774. You may obtain additional information concerning the action on our website, www.whafh.com.
If you have incurred losses in the shares of LendingClub Corporation and would like to assist with the litigation process as a lead plaintiff, you may, no later than July 2, 2018 , request that the Court appoint you lead plaintiff of the proposed class. Please contact Wolf Haldenstein to learn more about your rights as an investor in LendingClub Corporation.
The filed complaint alleges that, throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that:
- LendingClub falsely promised consumers they would receive a loan with "no hidden fees";
- LendingClub's privacy policy did not comply with the Gramm-Leach-Bliley Act;
- consequently, the foregoing conduct would subject LendingClub's business practices to heightened regulatory scrutiny by the Federal Trade Commission; and
- as a result, defendants' public statements were materially false and misleading at all relevant times.
The Class Period begins on February 28, 2015, the day after LendingClub filed its annual report on Form 10-K for the year ended December 31, 2014 ("2014 10-K") with the U.S. Securities and exchange Commission (“SEC”) which provided LendingClub's annual financial results and position. The 2014 10-K stated that LendingClub believed that all installment loans offered through its marketplace featured a fixed rate that was "clearly" disclosed to the borrower and which contained "no hidden fees."
On April 25, 2018, the Federal Trade Commission ("FTC") announced in a press release that it had filed a complaint against LendingClub alleging violations of the FTC Act for falsely promising consumers they would receive a loan with "no hidden fees[,]" and the Gramm-Leach-Bliley Act for failing to provide customers with a clear and conspicuous privacy notice so that each customer could reasonably be expected to receive actual notice. The press release stated, in relevant part: " The Federal Trade Commission has charged the LendingClub Corporation with falsely promising consumers they would receive a loan with ‘no hidden fees,’ when, in actuality, the company deducted hundreds or even thousands of dollars in hidden up-front fees from the loans."
Following this news, shares of LendingClub fell $0.49 per share, or over 15% from its previous closing price to close at $2.77 per share on April 25, 2018.
Wolf Haldenstein Adler Freeman & Herz LLP has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein by telephone at (800) 575-0735, via e-mail at classmember@whafh.com , or visit our website at www.whafh.com.
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Contact:
Wolf Haldenstein Adler Freeman & Herz LLP Kevin Cooper, Esq. Gregory Stone, Director of Case and Financial Analysis Email: gstone@whafh.com , kcooper@whafh.com or classmember@whafh.com Tel: (800) 575-0735 or (212) 545-4774
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