NEW YORK, April 5, 2019 /PRNewswire/ -- Bernstein Liebhard
LLP announced today that a class action has been filed in
the United States District Court
for the District of Massachusetts
on behalf of all persons or entities (the "Class") who purchased
the common stock of Care.com, Inc. ("Care.com" or the "Company")
(NASDAQ: CRCM) during the period between March 27, 2015 and April
1, 2019 (the "Class Period"). The complaint alleges
that defendants violated Sections 10(b) and 20(a) of the Securities
Exchange Act of 1934.
Care.com purports to be the world's largest online family care
platform. The Company claims to "help families make informed
hiring decisions" about caregivers.
The complaint alleges that defendants made materially false and
misleading statements regarding the Company's vetting procedures
for care providers. Specifically, plaintiffs allege that
defendants misleadingly touted the Company's "proactive" screening
procedures.
On March 8, 2019, a Wall Street
Journal article revealed Care.com's ineffective screening
procedures, reporting that care providers listed on the website
"had police records…and later were accused of committing crimes
while caring for customers' children or elderly relatives."
Care.com's stock dropped 13% after these revelations.
On March 31, 2019, a follow-up
Wall Street Journal article stated that "hundreds of
day-care centers" listed as "state licensed" on the Care.com
website did not appear to be, and that tens of thousands of
unverified day-care center listings were scrubbed from the Care.com
website just before the March 8, 2019
Wall Street Journal article was published. Care.com's
stock dropped another 7% after these disclosures.
Plaintiffs seek to recover damages on behalf of all Class
members who invested in Care.com common stock during the Class
Period. If you invested in Care.com common stock as described
above, and lost money on the transactions, you may wish to join in
this action to serve as lead plaintiff. In order to do so,
you must meet certain requirements set forth in the applicable law
and file appropriate papers no later than June 3, 2019.
A "lead plaintiff" is a representative party that acts on behalf
of other class members in directing the litigation. In order
to be appointed lead plaintiff, the court must determine that the
class member's claim is typical of the claims of other class
members, and that the class member will adequately represent the
class. Under certain circumstances, one or more class members
may together serve as lead plaintiff. Your ability to share
in any recovery is not, however, affected by the decision whether
or not to serve as a lead plaintiff. You may retain Bernstein
Liebhard LLP, or other counsel of your choice, to serve as your
counsel in this action.
If you are interested in discussing your rights as a Care.com
investor or have information relating to the matter, please
contact Joseph R. Seidman,
Jr. at (877) 779-1414
or seidman@bernlieb.com.
If you purchased shares of Care.com, Inc. (NASDAQ: CRCM)
between March 27, 2015 and
April 1, 2019 and would like to join
the action, please click "Join Class Action" above.
Bernstein Liebhard LLP has pursued hundreds
of securities, consumer and shareholder
rights cases and recovered over $3.5 billion for its clients. The Firm
has been named to The National Law
Journal's "Plaintiffs' Hot List" thirteen times and been
listed in The Legal 500 for ten consecutive years.
ATTORNEY ADVERTISING. © 2019 Bernstein Liebhard LLP. The law
firm responsible for this advertisement is Bernstein Liebhard LLP,
10 East 40th Street, New York, New
York 10016, (212) 779-1414. The lawyer responsible for this
advertisement in the State of
Connecticut is Michael S. Bigin. Prior results do not
guarantee or predict a similar outcome with respect to any future
matter.
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