The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of persons and entities that purchased or otherwise acquired Brookdale Senior Living Inc. ("Brookdale" or the "Company") (NYSE: BKD) common stock between August 10, 2016 and April 29, 2020, inclusive (the "Class Period"). Brookdale investors have until August 24, 2020 to file a lead plaintiff motion.
If you are a shareholder who suffered a loss, click here to participate.
On April 30, 2020, Nashville Business Journal reported that a proposed class action lawsuit had been filed against Brookdale, accusing the Company of, among other things, purposeful "chronically insufficient staffing" at its facilities in an effort to meet financial benchmarks since at least April 24, 2016. According to the lawsuit, the Company misinformed both residents and their families in promising to provide daily living services and basic care. The lawsuit also claims that the proposed class of plaintiffs "have not received the care and services they paid for."
On this news, the Company’s share price fell $0.56 per share, or over 15%, over two trading sessions, to close at $3.12 per share on May 1, 2020.
The complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operational, and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Brookdale's financial performance was sustained by, among other things, the Company's purposeful understaffing of its senior living communities; (ii) the foregoing conduct subjected Brookdale to an increased risk of litigation and, once revealed, was foreseeably likely to have a material negative impact on the Company's financial results and reputation; (iii) as a result, the Company's financial results were unsustainable; and (iv) as a result, the Company's public statements were materially false and misleading at all relevant times.
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If you purchased Brookdale securities during the Class Period, you may move the Court no later than August 24, 2020 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you purchased Brookdale securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067 at 310-914-5007, by email to email@example.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.
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