NEW YORK, Nov. 25, 2020 /PRNewswire/ -- Bernstein Liebhard, a nationally acclaimed investor rights law firm, reminds investors of the deadline to file a lead plaintiff motion in a securities class action lawsuit that has been filed on behalf of investors who purchased or acquired the securities of Credit Acceptance Corp. ("Credit Acceptance" or the "Company") (NASDAQ: CACC) from November 1, 2019 through August 28, 2020 (the "Class Period"). The lawsuit filed in the United States District Court for the Eastern District of Michigan alleges violations of the Securities Exchange Act of 1934.
If you purchased Credit Acceptance Corporation securities, and/or would like to discuss your legal rights and options please visit Credit Acceptance Corp. Shareholder Lawsuit or contact Matthew E. Guarnero toll free at (877) 779-1414 or [email protected].
The complaint alleges that throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (i) that the Company was topping off the pools of loans that they packaged and securitized with higher-risk loans; (ii) that Credit Acceptance was making high-interest subprime auto loans to borrowers that the Company knew borrowers would be unable to repay; (iii) that the borrowers were subject to hidden finance charges, resulting in loans exceeding the usury rate ceiling mandated by state law; (iv) that Credit Acceptance took excessive and illegal measures to collect debt from defaulted borrowers; (v) that, as a result, the Company was likely to face regulatory scrutiny and possible penalties from various regulators or lawsuits; and (vi) that, as a result of the foregoing, Defendant's positive statements about the Company's business, operations, and adherence to appropriate laws and regulations were materially misleading and/or lacked a reasonable basis.
On August 28, 2020, the Massachusetts Attorney General ("Mass AG") filed a lawsuit against Credit Acceptance alleging that the Company has, for years, been making unfair and deceptive automobile loans to thousands of Massachusetts consumers. Additionally, the lawsuit alleges that Credit Acceptance provided its investors with false and/or misleading information regarding the asset-backed securitizations they offered to investors, and that the Company engaged in unfair debt collection practices as well. In response to the public disclosure of the Mass AG lawsuit, Credit Acceptance's stock price fell $85.36 per share, or over 18%, to close at $374.07 per share over two trading days ending on September 1, 2020.
If you wish to serve as lead plaintiff, you must move the Court no later than December 1, 2020. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Your ability to share in any recovery doesn't require that you serve as lead plaintiff. If you choose to take no action, you may remain an absent class member.
If you purchased Credit Acceptance securities, and/or would like to discuss your legal rights and options please visit https://www.bernlieb.com/cases/creditacceptancecorp-cacc-shareholder-class-action-lawsuit-stock-fraud-298/apply/ contact Matthew E. Guarnero toll free at (877) 779-1414 or [email protected].
Since 1993, Bernstein Liebhard LLP has recovered over $3.5 billion for its clients. In addition to representing individual investors, the Firm has been retained by some of the largest public and private pension funds in the country to monitor their assets and pursue litigation on their behalf. As a result of its success litigating hundreds of lawsuits and class actions, the Firm has been named to The National Law Journal's "Plaintiffs' Hot List" thirteen times and listed in The Legal 500 for ten consecutive years.
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