SAN FRANCISCO, May 11, 2020 /PRNewswire/ -- Schubert Jonckheer & Kolbe LLP is investigating potential shareholder derivative claims against certain officers and directors of Advance Auto Parts, Inc. (NYSE: AAP) for possible breaches of fiduciary duty related to the company's allegedly false and misleading statements about its financial performance.
The firm's investigation relates to allegations in a securities class action pending against the company in the U.S. District Court for the District of Delaware (Case No. 1:18-cv-00212-RGA). The securities class action alleges that certain officers of the company made false and misleading statements beginning in November 2016, in which they published guidance for the company's 2017 financial performance that they knew was unattainable and which directly contradicted internal forecasts. On August 15, 2017, the officers finally rescinded the false guidance and the stock price plummeted, losing more than 20% of its value in a single day.
On February 7, 2020, U.S. District Judge Richard G. Andrews denied Advance Auto Parts' motion to dismiss the securities complaint, in part, finding that the complaint adequately alleged that the company and its officers violated federal securities laws. Judge Andrews determined that the complaint stated a claim that some of the company's projections "lacked a reasonable basis due to an inadequate methodology."
The Schubert Firm is investigating potential derivative claims based on harm the company has suffered as a result of possible breaches of fiduciary duty by the company's officers and directors concerning their statements about the company's financial performance. For more information, please visit our website at http://www.classactionlawyers.com/aap.
If you currently own stock in Advance Auto Parts and wish to obtain additional information about shareholder derivative claims and your legal rights, please contact us today.
About Schubert Jonckheer & Kolbe
Schubert Jonckheer & Kolbe represents shareholders, employees, and consumers in class actions against corporate defendants, as well as shareholders in derivative actions against their officers and directors. The firm is based in San Francisco, and with the help of co-counsel, litigates cases nationwide. Attorney advertising. Prior results do not guarantee similar outcomes.
Kathryn Y. McCauley
Schubert Jonckheer & Kolbe
SOURCE Schubert Jonckheer & Kolbe LLP