Johnson Fistel, LLP announces that a class action lawsuit has commenced on behalf of shareholders of Peloton Interactive, Inc. common stock. The class action is on behalf of shareholders who purchased Peloton between September 11, 2020 and April 16, 2021, both dates inclusive (the “Class Period”). If you wish to serve as lead plaintiff in this class action, you must move the Court no later than June 28, 2021.
The Peloton class action lawsuit charges Peloton and certain of its officers and directors with violations of the Securities Exchange Act of 1934.
According to the lawsuits, defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (1) in addition to the tragic death of a child, Peloton’s Tread+ had caused a serious safety threat to children and pets as there were multiple incidents of injury to both; (2) safety was not a priority to Peloton as Defendants were aware of serious injuries and death resulting from the Tread+ yet did not recall or suggest a halt of the use of the Tread+; (3) as a result of the safety concerns, the U.S. Consumer Product Safety Commission (“CPSC”) declared the Tread+ posed a serious risk to public health and safety resulting in its urgent recommendation for consumers with small children to cease using the Tread+; (4) the CPSC also found a safety threat to Tread+ users if they lost balance; and (5) defendants’ statements about Peloton’s business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times. When the true details entered the market, the lawsuit claims that investors suffered damages.
Then on May 5, 2021, CEO John Foley said the Company’s voluntary decision to recall its Tread+ and Tread treadmills after one child’s death and other reports of injuries was the “right thing to do” for the Company’s members and their families.
The Consumer Product Safety Commission (CPSC) announced that Peloton recalled the $4,295 Tread+ and the $2,495 tread, noting that people who bought either piece of equipment should stop using it immediately and contact the Company for a full refund.
A lead plaintiff will act on behalf of all other class members in directing the Peloton class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the Peloton class-action lawsuit. An investor’s ability to share any potential future recovery of the Peloton class action lawsuit is not dependent upon serving as lead plaintiff. If you are interested in learning more about the case, please contact Jim Baker (email@example.com) at 619-814-4471. If you email, please include your phone number.
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Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit http://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.
Johnson Fistel, LLP
Jim Baker, 619-814-4471