A COMPREHENSIVE GUIDE TO THE ROBLOX CLASS ACTION LAWSUIT
INTRODUCTION TO THE ROBLOX CLASS ACTION LAWSUIT
The Roblox class action lawsuit seeks to represent purchasers or acquirers of Roblox Corporation (NYSE: RBLX) Class A common stock between March 10, 2021 and February 15, 2022, inclusive (the “Class Period”). Captioned DeKalb County Pension Fund v. Roblox Corporation, №23-cv-10347 (S.D.N.Y.), the Roblox class action lawsuit charges Roblox and certain of its top executive officers with violations of the Securities Exchange Act of 1934.
If you suffered losses in Roblox stock and wish to serve as lead plaintiff in the Roblox class action lawsuit, please contact Roblox Stock Loss Lawyer Timothy L. Miles by calling 855/846–6529 or via e-mail at tmiles@timmileslaw.com or by submitting a contact form. Lead plaintiff motions for the Roblox class action lawsuit must be filed with the court no later than January 26, 2024.
In this comprehensive guide, we will discuss the lead plaintiff process and everything else a Rolox investor needs to know about the Roblox class action lawsuit.
THE ALLEGATIONS IN THE ROBLOX CLASS ACTION LAWSUIT
Roblox operates a video game platform that provides developers with tools to create games that are hosted on Roblox’s servers. Roblox generates revenue by selling its proprietary currency (called “Robux”) to its users so they can purchase digital items (e.g., weapons, armor, or vehicles) to enhance their gaming experiences.
The Roblox class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) the Roblox platform had insufficient content controls and lacked user spending restrictions; (ii) these inadequate controls enabled younger Roblox users to play games with inappropriate content and make excessive, unauthorized Robux purchases; (iii) a material portion of Roblox’s bookings and revenue growth was due to these excessive, unauthorized Robux purchases; (iv) fourth quarter 2021 and 2022 bookings would be negatively impacted by Roblox’s planned rollout of enhanced parental controls; and (v) as a result, Roblox’s bookings and revenue growth was unsustainable throughout the Class Period.
The Roblox class action lawsuit further alleges that on February 15, 2022, Roblox disclosed poor fourth quarter 2021 results, including $770.1 million in bookings which was well short of the $786.8 million analyst consensus target. Key performance indicators on audience size and engagement both showed sequential and year-over-year declines, according to the complaint. The Roblox class action lawsuit alleges that on this news, the price of Roblox stock fell more than 26%.
THE LEAD PLAINTIFF DEADLINE IN THE ROBLOX CLASS ACTION LAWSUIT
When a securities class action is filed such as the Roblox class action lawsuit, the person who files the first complaint is required to publish a notice announcing the filing. Anyone who wants to be lead plaintiff on behalf of the class in the Roblox class action lawsuit must thereafter file a motion to be appointed as lead plaintiff(s) no later than 60 days after the notice was published.
IF YOU RECEIVED A SETTLEMENT FROM FINRA CAN YOU CAN STILL PARTICIPATE IN THE ROBLOX LAWSUIT
The acceptance of restitution or compensation from a FINRA regulatory settlement does not waive your right to monetary or other benefits through the courts, arbitration, or mediation. Therefore, even if you received a settlement from FINRA, you can still participate in the Roblox lawsuit.
Timothy L. Miles
tmiles@timmileslaw.com
855/846–6529
Contact Roblox stock loss lawyer Timothy L. Miles for a free case evaluation about a Roblox class action lawsuit if you suffered losses in Roblox stock.
THE LEAD PLAINTIFF PROCESS IN THE ROBLOX CLASS ACTION LAWSUIT
The Private Securities Litigation Reform Act of 1995 permits any investor who purchased and suffered losses in Roblox stock to seek appointment as lead plaintiff in the Roblox class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class.
A lead plaintiff acts on behalf of all other class members in directing the class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the securities class action lawsuit. An investor’s ability to share in any potential future recovery of the class action lawsuit is not dependent upon serving as lead plaintiff. If you suffered losses in Roblox stock and have further questions, contact Roblox stock loss Lawyer Timothy L. Miles today who will fight to recover your damages in a Roblox class action lawsuit if you suffered losses in Roblox stock.
NON-U.S. INVESTORS CAN SERVE AS LEAD PLAINTIFFS IN THE ROBLOX CLASS ACTION LAWSUIT
Courts in the U.S. have consistently recognized that non-U.S. investors, many of whom have substantial holdings, are adequate lead plaintiffs and have the same right to move for lead plaintiffs as U.S. investors. Thus, if a non-U.S. investor suffered losses in Robloxstock, they may move the Court to be appointed lead plaintiff in the Roblox class action lawsuit.
THE BENEFITS OF SERVING AS LEAD PLAINTIFF IN THE ROBLOX CLASS ACTION LAWSUIT
Serving as a Lead Plaintiff in the Roblox class action lawsuit has several advantages and important benefits including:
- A Lead Plaintiff is able to negotiate more competitive attorney fees and reduce other litigation costs by actively monitoring the class counsel.
- Lead Plaintiff has the benefit of being able to manage the litigation primarily by overseeing and monitoring the progress of the action and the efforts of counsel, and being able to review and comment on important filings and other documents pertaining to the prosecution of the action.
- There is no financial risk in serving as a Lead Plaintiff because Lead Counsel advances all costs and expenses incurred in the prosecution of the case and will be reimbursed only if there is a successful settlement or judgment recovery on behalf of the class.
- Lead Plaintiff has the benefit of being involved and active in all negotiations relating to any settlement.
- Lead Plaintiffs that continue owning the stock of the defendant will enjoy the long-term benefits from governance reform resulting from the litigation.
Thus, there are numerous benefits and other advantages to serving as lead plaintiff in a class action against Roblox if you suffered significant losses in Roblox stock.
RESPONSIBILITIES OF THE LEAD PLAINTIFF IN THE ROBLOX CLASS ACTION LAWSUIT
A Lead Plaintiff owes a fiduciary duty to the class, and therefore, must act in the best interest of the class in the Roblox class action lawsuit. Some of the responsibilities of the Lead Plaintiff in the Roblox class action lawsuit include:
- Selecting, monitoring, and overseeing Lead Counsel.
- Reviewing and commenting on court filings on behalf of the class.
- Discussing litigation strategies with the Lead Counsel.
- Attending depositions (if necessary) and giving a deposition.
- Attending hearings (if necessary).
- Participating in mediation and the trial (if necessary).
- Provide input on any decision concerning the settlement of the securities class action.
THE LEAD PLAINTIFFS WILL NOT GET MORE MONEY THAN CLASS MEMBERS IF THE ROBLOX CLASS ACTION LAWSUIT SETTLES
But they may be entitled to recover their reasonable expenses incurred with are directly related to representing the class in the Roblox class action lawsuit. Under the Private Securities Litigation Reform Act of 1995, a Lead Plaintiff is only entitled to his or her pro rata share of any recovery and does not receive any additional money for serving as a representative party on behalf of the class. However, a court, in its discretion, may approve an award of “reasonable costs and expenses (including lost wages)” to a Lead Plaintiff that directly relates to the representation of the class in the Roblox class action lawsuit on behalf of investors who suffered losses in Roblox stock.
THE COURT MAY APPOINT MORE THAN ONE LEAD PLAINTIFF IN THE ROBLOX CLASS ACTION LAWSUIT
At its discretion the Court may appoint a person, entity, or group of persons and/or entities as Lead Plaintiffs to oversee the Roblox class action lawsuit.
Timothy L. Miles
tmiles@timmileslaw.com
855/846–6529
Contact Roblox stock loss lawyer Timothy L. Miles for a free case evaluation about a Roblox class action lawsuit if you suffered losses in Roblox stock.
THE CLASS PERIOD DETERMINATION IN THE ROBLOX LAWSUIT
In a securities fraud class action, the class period refers to a period of time in which it is alleged the price of the company’s stock was artificially inflated due to false and misleading statements made by company executives. The class period starts when the company makes an untrue statement of material fact about the company or fails to disclose a material fact necessary to render other statements not misleading. The class period ends when the truth is revealed to the investing public through a corrective disclosure.
In order to be a part of the class in the Roblox lawsuit, you must have suffered losses in Roblox stock by purchasing during the class period when it is alleged the price of the stock was artificially inflated to be included in the class action against Roblox.
YOU CAN SELL YOUR STOCK AND STILL BE A MEMBER OF THE CLASS IN THE ROBLOX CLASS ACTION LAWSUIT
There is no requirement for you to retain ownership of the stock after the class period has expired to participate in the Roblox class action lawsuit.
A ROBLOX STOCK LOSS LAWYER CAN HELP YOU
A Roblox stock loss Lawyer is well-versed in the complex laws that govern the securities industry and litigation and focuses on representing individual investors or funds who have been the victims of fraud or who have disputes with investment professionals such as the Roblox class action lawsuit. Ordinary individual investors, including civil servants, teachers, nurses, and retirees, may need a securities lawyer. In most cases, they have lost money due to mistakes, incompetence, or fraud by an investment professional.
While FINRA, the SEC, and state securities regulators serve a vital role in protecting investors, they simply have too many individuals, firms, and market transactions to monitor to discover every act of fraud or negligence. Individual investors should consult with a securities lawyer if they have lost money due to fraud or stockbroker misconduct.
Look for a securities lawyer with experience, high ethical standards, verifiable credentials, and a trustworthy reputation among his peers and the judiciary, as well as testimonials from previous clients and awards and recognitions.
One name that immediately pops up is nationally known and widely respected Nashville lawyer Timothy L. Miles, who has valuable experience and has received numerous awards, mostly due to his high ethical standards, and hard work ethic, including most recently being named a Top 25 Class action lawyer by the National Trial Lawyers Association, and has maintained an AV rating from Martindale-Hubble since 2014, was named a 2023 Top Rated Litigator and 2023 Top Rated Lawyer by Martindale-Hubble and ALM, and was recently named a 2023 Elite Lawyer of the South by Martindale-Hubble for the fifth year in a row, and was a recipient of Avvo Client’s Choice Award in 2021, in 2022 was featured in the Top 100 Lawyers Magazine and received the Lifetime Achievement Award by Premier Lawyers of America (2019–2021).
This will most likely be the only call you need to make. (855) 846–6529 or tmiles@timmileslaw.com.
WHEN YOU CAN EXPECT TO RECEIVE A PAYMENT IF THE ROBLOX CLASS ACTION LAWSUIT SETTLES
If there is a settlement in the Roblox class action lawsuit, you should receive a court-ordered Notice through the mail which will provide a date when the court will hold a final hearing to decide if it will approve the settlement. If your address changed, you may also find lawsuits through sites such as Consumer Action and ClassAction.org along with instructions on how to submit a claim. The Notice will instruct you what you need to do to file a claim. In some class action settlements, you are automatically submitted and need to do nothing further. However, in others, you may be required to submit more information to proceed such as documentation proving your purchase, such as a receipt or brokerage slip or other evidence that you bought or sold Roblox stock during the class period and suffered losses in Roblox stock.
The court will hold a final hearing in the Roblox class action lawsuit on a date provided in the Notice to decide whether to finally approve the settlement. If the Court finally approves the settlement, and there are no objections or appeals, settlement payments will be mailed to all Participating Class Members within a few months. However, if there are objections or appeals, resolving them can take a significant amount of time, perhaps more than a year to resolve the Roblox lawsuit.
THE DIFFERENCE BETWEEN OBJECTING AND EXCLUDING YOURSELF IN THE ROBLOX CLASS ACTION LAWSUIT
Objecting is telling the Court you do not believe the settlement in the Roblox class action lawsuit, or some part of it, is fair or reasonable. You can file an objection only if you stay in the Class and do not exclude yourself, and you may submit a Claim Form even if you object to the settlement. On the other hand, requesting exclusion is explicitly telling the Court you do not want to be part of the Class or the Settlement in the class action against Roblox. If you exclude yourself, you cannot object to the Settlement because you no longer have standing as you are not a class member anymore. Similarly, you cannot submit a Claim Form. If you stay in the Class and object, but your objection is overruled, you will not be allowed a second opportunity to exclude yourself.
CONTACT A ROBLOX STOCK LOSS LAWYER TODAY IF YOU SUFFERED LOSSES IN ROBLOX STOCK ABOUT A ROBLOX CLASS ACTION LAWSUIT
If you suffered losses in Roblox stock, contact Roblox stock loss lawyer Timothy L. Miles today for a free case evaluation about a Roblox class action lawsuit. Call today and see what a Roblox stock loss lawyer could do for you if you suffered losses in Roblox stock.
This will most likely be the only call you need to make. (855) 846–6529 or tmiles@timmileslaw.com.
(855) Tim-M-Law (855–846–6529)
THE CALL IS FREE AND SO IS THE FEE UNLESS WE WIN OR SETTLE YOUR CASE, SO CALL TODAY AND SEE WHAT AN ROBLOX STOCK LOSS LAWYER CAN DO FOR YOU.
