NEW YORK, Aug. 31, 2018 (GLOBE NEWSWIRE) -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC notifies investors that a class action lawsuit has been filed against Papa John’s International, Inc. (“Papa John” or the “Company”) (NASDAQ: PZZA) and certain of its officers, on behalf of shareholders who purchased or otherwise acquired Papa John securities between February 25, 2014, through July 19, 2018, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: http://www.bgandg.com/pzza .
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements and/or failed to disclose that: (1) Papa John’s executives, including Defendant John H. Schnatter (“Schnatter”), had engaged in a pattern of sexual harassment and other inappropriate workplace conduct at the Company; (2) Papa John’s Code of Ethics and Business Conduct was inadequate to prevent the foregoing misconduct; (3) the foregoing conduct would foreseeably have a negative impact on Papa John’s business and operations, and expose Papa John’s to reputational harm, heightened regulatory scrutiny, and legal liability; and (4) as a result, Papa John’s public statements were materially false and misleading at all relevant times.
On July 10, 2018, post-market, and July 11, 2018, media outlets reported that Papa John’s founder, Defendant Schnatter, had used a racial slur during a conference call in May 2018. Following this news, Papa John’s stock price fell $2.46 per share, or 4.84%, to close at $48.33 per share on July 11, 2018. Later that day, Papa John’s announced Schnatter’s resignation as chairman of Papa John’s board.
Then, on July 19, 2018, Forbes published an article entitled “The Inside Story of Papa John’s Toxic Culture.” Citing “interviews with 37 current and former Papa John’s employees—including numerous executives and board members,” the Forbes article reported that “Schnatter’s alleged behavior ranges from spying on his workers to sexually inappropriate conduct, which has resulted in at least two confidential settlements.” The Forbes article further reported that “[t]o protect himself, Schnatter . . . installed loyalists in the firm’s top ranks, who enabled its ‘bro’ culture.” Following this news, Papa John’s stock price fell $2.60 per share, or 4.85%, to close at $51.00 per share on July 19, 2018.
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint you can visit the firm’s site: http://www.bgandg.com/pzza or you may contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484. If you suffered a loss in Papa John you have until October 29, 2018 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm’s expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.
Contact: Bronstein, Gewirtz & Grossman, LLC Peretz Bronstein or Yael Hurwitz 212-697-6484 | info@bgandg.com
