CASES
Medifast, Inc.
Class Period: Mar 4, 2010 to Mar 10, 2011
Lead Plaintiff Deadline: May 17, 2011 + Deadline passed
Summary of Case:
A securities class action has been filed against Medifast, Inc. (MED) ("Medifast" or the "Company") on behalf of a class of all persons or entities who purchased or otherwise acquired Medifast, Inc. ("Medifast" or the "Company") securities from March 4, 2010 through March 10, 2011, inclusive ("Class Period") in the United States District Court for the District of MAryland (Baltimore).
The Complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose: (1) that the Company was improperly recognizing certain expenses; (2) that the Company lacked adequate internal and financial controls; and (3) that, as a result of the foregoing, the Company's financial results were materially false and misleading at all relevant times. On March 11, 2011, the Company disclosed that it would be forced to delay the filing of its fiscal 2010 financial results and its Annual Report. According to the limited information provided by the Company regarding the delay, Medifast requires additional time to complete its year-end financial statements due to the need to review the recognition of certain expenses in prior periods. On this news, Medifast shares declined $5.27 per share, or more than 24%, to close at $16.63 per share.
Please contact Scott+Scott LLP either via e-mail at scottlaw@scott-scott.com, call (800) 404-7770 or (860) 537-5537, or visit our website at www.scott-scott.com if you would like further information about this lawsuit.
If you purchased this company's shares during the Class Period and suffered a loss or for further information about the case, please review the links below.