Class Action Lawsuit Filed Against Block, Inc. (SQ) for Alleged Securities Law Violations
On February 4, 2025, Bronstein, Gewirtz & Grossman, LLC, a renowned law firm, announced the filing of a class action lawsuit against Block, Inc. (Block or the Company) and certain of its officers. The lawsuit alleges that the Company and its executives violated the federal securities laws during the period from February 26, 2020, to April 30, 2024.
Class Definition
The lawsuit aims to recover damages on behalf of all persons and entities who purchased or otherwise acquired Block securities during the aforementioned Class Period. The Class Period refers to the time frame between the February 26, 2020, filing of Block’s Annual Report on Form 10-K, which allegedly contained materially false and misleading statements, and April 30, 2024, when the truth was revealed, causing investors harm.
Allegations
According to the complaint, Block and its executives made false and misleading statements regarding the Company’s business, operations, and prospects. Specifically, the lawsuit alleges that Block failed to disclose adverse trends and risks related to its business, including issues with its Square Point of Sale (POS) system, its Cash App business, and regulatory scrutiny. These misrepresentations allegedly artificially inflated the price of Block securities during the Class Period.
Impact on Individual Investors
If you purchased or otherwise acquired Block securities during the Class Period, you may be a member of the proposed class and eligible to receive compensation if the allegations in the lawsuit are proven. The lawsuit seeks to recover damages for investors’ losses, as well as any other relief the court deems appropriate. To learn more about your potential recovery and how to participate in the class action, contact Bronstein, Gewirtz & Grossman, LLC.
Impact on the World
The impact of this lawsuit on the broader financial markets and economy is unclear at this time. However, it is worth noting that Block is a significant player in the digital payments space, with a market capitalization of over $100 billion as of February 2025. The outcome of this lawsuit could potentially influence investor confidence in other technology companies and the broader market.
Conclusion
Investors who purchased or otherwise acquired Block securities between February 26, 2020, and April 30, 2024, are encouraged to contact Bronstein, Gewirtz & Grossman, LLC for more information about the class action lawsuit against the Company and its officers. The lawsuit alleges securities law violations and seeks to recover damages for investors’ losses. The outcome of this lawsuit could potentially have implications for investor confidence in technology companies and the broader market.
- Bronstein, Gewirtz & Grossman, LLC files class action lawsuit against Block, Inc. and certain officers.
- Allegations of securities law violations during the period from February 26, 2020, to April 30, 2024.
- Class defined as all persons and entities who purchased or otherwise acquired Block securities during the Class Period.
- Plaintiffs allege misrepresentations regarding Block’s business, operations, and prospects.
- Potential impact on individual investors and the broader financial markets.
