| COMPANY |
Zuora, Inc. |
| COURT |
United States District Court for the Northern District of California |
| CASE NUMBER |
19-cv-03422 |
| JUDGE |
The Hon. Susan Yvonne Illston |
| CLASS PERIOD |
April 12, 2018 and May 30, 2019 |
| SECURITY TYPE |
All Securities |
Case Background:
On June 14, 2019, the initial complaint in this securities class action was filed against Zuora, Inc. (“Zuora” or the “Company”), and certain of Zuora’s directors and officers, asserting violations of Sections 10(b) and 20(a) of the Securities Exchange Act. This is a federal securities class action brought on behalf of all investors who purchased or otherwise acquired Zuora securities between April 12, 2018 and May 30, 2019, (“Class Period”) both dates inclusive.
The complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, the complaint alleges Defendants failed to disclose to investors that: (1) the Company would focus on implementing RevPro for new customers ahead of the deadline to comply with accounting standard ASC 606; (2) as a result, the Company lacked adequate resources to integrate RevPro with the core business; (3) the Company would focus on RevPro integration a year after the acquisition closed; (4) delays in integrating RevPro would materially impact the business; (5) the market for RevPro was limited to customers seeking to implement new accounting standards such as ASC 606; (6) after the deadline for ASC 606 compliance passed, demand for RevPro was reasonably likely to decline; and (7) as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
Current Status of Case:
Lead Plaintiff filed a consolidated amended complaint (the “Complaint”) on November 8, 2019. Defendants filed a Motion to Dismiss the Complaint on January 22, 2020. On April 28, 2020, the Court issued an Order denying Defendants' Motion to Dismiss. On March 15, 2021, the Court Granted Lead Plaintiff’s Motion for Class Certification. On August 14, 2023, the Court granted preliminary approval of the Settlement of this action and scheduled a Final Settlement hearing on January 12, 2024. On January 16, 2024, the Court granted final approval of the Settlement of this action, plan for allocation, and Motion for Attorney Fees. This action has concluded.
The deadline to file a claim is December 30, 2023. If you have any questions or need further information about this settlement, you may go to the following website, http://www.zuorasecuritieslitigation.com or you can contact the claims administrator, Epiq Class Action & Claims Solutions, Inc., at 1-855-914-4696.
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; toll-free at (844) 887-9500; 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.