J2 Global, Inc. Class Action Lawsuit

Case Summary

Company Name
J2 Global, Inc.
Stock Symbol
Class Period
October 5, 2015 to June 29, 2020
Central District of California

The J2 Global, Inc. class action lawsuit charges J2 Global and certain of its officers with violations of the Securities Exchange Act of 1934 and seeks to represent purchasers of J2 Global securities between October 5, 2015 and June 29, 2020, inclusive (the “Class Period”).  The J2 Global class action lawsuit was commenced on July 8, 2020 in the Central District of California and is captioned Garcia v. J2 Global, Inc., No. 20-cv-06096.

J2 Global, through its subsidiaries, purports to provide Internet services worldwide.

The J2 Global class action lawsuit alleges that defendants made materially false and/or misleading statements, as well as failed to disclose that: (1) J2 Global engaged in undisclosed related-party transactions; (2) J2 Global used misleading accounting to hide impairments and underperformance in acquisitions; (3) several so-called independent members of J2 Global’s board of directors and audit committee were not disinterested; and (4) as a result, defendants’ public statements were materially false and/or misleading at all relevant times.

On June 30, 2020, Hindenburg Research published a report alleging that J2 Global had, among other things: (i) failed to disclose questionable transactions with related parties; (ii) utilized misleading accounting to hide underperformance and impending impairments; and (iii) failed to disclose a lack of board independence.  On this news, the price of J2 Global shares fell more than 9%.

Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities class action litigation.  With 200 lawyers in 9 offices, Robbins Geller has obtained many of the largest securities class action recoveries in history.  For seven consecutive years, ISS Securities Class Action Services has ranked the Firm in its annual SCAS Top 50 Report as one of the top law firms in the world in both amount recovered for shareholders and total number of class action settlements.  Robbins Geller attorneys have helped shape the securities laws and have recovered tens of billions of dollars on behalf of aggrieved victims.  Beyond securing financial recoveries for defrauded investors, Robbins Geller also specializes in implementing corporate governance reforms, helping to improve the financial markets for investors worldwide.  Robbins Geller attorneys are consistently recognized by courts, professional organizations and the media as leading lawyers in the industry.

Class Period: October 5, 2015 - June 29, 2020
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