A law firm recently announced that it filed a securities class action claim against EveryWare Global, Inc.
Scott+Scott, Attorneys at Law, LLP indicated on Oct. 7, 2014, that it had brought forth the legal claim to represent all retail investors and organizations that came to own company securities between June 18, 2013 and May 16, 2014. The law firm filed the suit in the U.S. District Court for the Southern District of Ohio, and did so in an effort to seek remedies under the Securities Exchange Act of 1934.
The securities class action claim alleged the company failed to reveal material adverse facts, and also made statements that were false and or misleading, during the class period. According to the suit, the facts the firm neglected to reveal pertained to its business, prospects and operations. Company share prices dropped substantially once markets became aware of these key facts, the suit alleged.
These securities closed at $2.13 apiece on Oct. 7, 2014, after fluctuating between 67 cents and $11.32 each in the prior 52 weeks, The Columbus Dispatch reported.
"As a result of the defendants' wrongful acts and omissions, EveryWare stock traded at artificially inflated prices during the class period, and plaintiffs and other class members have suffered significant losses and damages," the complaint stated, according to The Columbus Dispatch.
Earlier this year, the company encountered significant difficulty, as it had to renegotiate credit agreements in some cases, and suffered some losses that were both large and unexpected, the media outlet reported. As a result of these events, a pension fund representing a union of local electrical workers in Michigan served as the first plaintiff.
However, investors who bought company securities during the class period and want to serve as lead plaintiff have until Dec. 8, 2014, to move the court.