| COMPANY |
Generac Holdings Inc. |
| COURT |
United States District Court for the Eastern District of Wisconsin |
| CASE NUMBER |
21-cv-01342 |
| JUDGE |
The Honorable Lynn Adelman |
| CLASS PERIOD |
February 23, 2021 - July 29, 2021 |
| SECURITY TYPE |
All Securities |
Case Background:
The Class Period commences on February 23, 2021, when Generac filed with the U.S. Securities and Exchange Commission its annual report on Form 10-K for the period ended December 31, 2020 (the “Annual Report”). According to the complaint, the Annual Report touted the importance of Generac’s residential generators for its business and that its generators “have many advantages over our competitors with strengths in our engineering, sourcing and operations capabilities as well as a global distribution network that we believe can be leveraged further for continued market share gains.” The Annual Report also touted the safety of its generators and that “[r]esearch and development (R&D) is a core competency and includes a staff of over 500 engineers.” The Annual Report further stated that in light of recent power disruptions, there was an increased awareness and demand for portable and home standby generators which contributed to strong revenue growth.
The complaint alleges that, throughout the Class Period, the Defendants made false and/or misleading statements and/or failed to disclose that: (1) Generac’s portable generators posed an unreasonable risk of injury to users and the public; (2) as a result, at least seven finger amputations and one crushed finger had been reported to the company; (3) as a result, Generac would face increased regulatory scrutiny; (4) Generac would end sales in its Generac® and DR® 6500 Watt and 8000 Watt portable generators in the United States and Canada in June 2021; (5) Generac would recall its Generac® and DR® 6500 Watt and 8000 Watt portable generators in the United States and Canada; (6) the end of sales and the recall would occur before Generac’s noted hurricane and wildfire seasons and following the Texas outage—periods the company has touted for sales; and (7) as a result, defendants’ public statements and statements to journalists were materially false and/or misleading at all relevant times.
Current Status of Case:
On October 9, 2023, Defendants’ filed a Motion to Dismiss which is being briefed by the parties. This action is ongoing.
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP: Jon Naji, Esq. (484) 270-1453; or via e-mail at info@ktmc.com. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.