Ready Capital Corporation Class Action Lawsuit: What Does It Mean for Investors and the World?
On March 11, 2025, Robbins Geller Rudman & Dowd LLP announced that any purchasers or acquirers of Ready Capital Corporation (Ready Capital) common stock between November 7, 2024, and March 2, 2025, inclusive (the “Class Period”), have until May 5, 2025, to seek appointment as lead plaintiff in a class-action lawsuit against the company, captioned Quinn v. Ready Capital Corporation. This lawsuit alleges that Ready Capital and certain of its top executives violated the Securities Exchange Act of 1934.
Impact on Individual Investors
If you invested in Ready Capital’s common stock during the Class Period, you may be eligible to recover your losses through the class action lawsuit. The lead plaintiff role is significant as they will help direct the litigation and make critical decisions, including whether to accept a settlement or take the case to trial. If you wish to act as the lead plaintiff, you must meet certain requirements, including holding a significant number of shares during the Class Period and not selling those shares.
Impact on the World
The class action lawsuit against Ready Capital could have far-reaching implications for the business world. When a company is accused of securities fraud, it can lead to a loss of investor confidence, which can negatively impact the company’s stock price and reputation. In this case, the allegations against Ready Capital could potentially deter investors from purchasing its stock and could result in increased regulatory scrutiny. Furthermore, if the lawsuit is successful, it may serve as a deterrent for other companies to engage in similar misconduct.
Background of the Lawsuit
The lawsuit alleges that Ready Capital and its executives made false and misleading statements regarding the company’s financial condition and business prospects. Specifically, the complaint alleges that the defendants failed to disclose that the company was experiencing significant declines in loan origination volumes and that its loan portfolio contained a higher concentration of higher-risk loans than previously disclosed. These alleged misrepresentations artificially inflated Ready Capital’s stock price during the Class Period.
Conclusion
The class action lawsuit against Ready Capital Corporation serves as a reminder for investors to carefully consider the information disclosed by companies before making investment decisions. If you invested in Ready Capital’s common stock during the Class Period and believe you have suffered losses as a result of the alleged misrepresentations, you may be eligible to recover your losses. It is essential to consult with an experienced securities attorney to discuss your options and protect your investment.
- If you invested in Ready Capital Corporation common stock between November 7, 2024, and March 2, 2025, you may be eligible to recover your losses through the class action lawsuit.
- The lead plaintiff will help direct the litigation and make critical decisions, including whether to accept a settlement or take the case to trial.
- The lawsuit alleges that Ready Capital and its executives made false and misleading statements regarding the company’s financial condition and business prospects.
- The lawsuit could have far-reaching implications for the business world, including a loss of investor confidence and increased regulatory scrutiny.
- It is essential to consult with an experienced securities attorney to discuss your options and protect your investment.
