#USA #Los Angeles #Schall Law Firm #Securities Fraud #Civitas Resources

Civitas Resources, Inc. Under Legal Scrutiny

Overview of the Lawsuit

The Schall Law Firm, a prominent national firm specializing in shareholder rights, has issued a reminder for investors regarding an ongoing class action lawsuit against Civitas Resources, Inc. (ticker: CIVI). This legal action addresses allegations of severe breaches of the Securities Exchange Act of 1934. The lawsuit specifically focuses on violations of sections 10(b) and 20(a) and the accompanying Rule 10b-5, as enforced by the U.S. Securities and Exchange Commission (SEC).

Class Period Details

Investors who acquired shares of Civitas between February 27, 2024, and February 24, 2025, are encouraged to reach out to the Schall Law Firm prior to the deadline of July 1, 2025. The firm is looking to assist those who have experienced financial losses during this period. If you were a shareholder affected by the company's operations, participating in this class action could be crucial for potential restitution.

Allegations Against Civitas

The central claim in this class action is that Civitas presented multiple false and misleading statements to investors. Specifically, there is an assertion that the company was likely to experience a notable decrease in oil production for the year 2025, primarily due to declines noted after reaching production peaks at the DJ Basin. The lawsuit suggests that to support production growth, Civitas would need to pursue new development locations which would lead to significant debt accumulation.

Additionally, there are claims indicating that escalating financial pressure could force Civitas to initiate cost-reduction measures, possibly including layoffs. Given these assertions, many of the company’s public communications were deemed to be both materially misleading and misrepresentative of its actual financial health and production capabilities.

Impact on Investors

As the lawsuit stipulates, should these allegations be proven true, it could result in considerable damages for those who invested based on the claims made by Civitas. The market's reaction to the unfolding situation could lead to severe market adjustments, further affecting the valuation of the stock and shareholder equity.

In light of this, the Schall Law Firm is actively soliciting affected investors to join the legal proceedings. Engaging in class action suits can often facilitate greater chances of recovering losses that individual actions may not achieve.

How to Participate

Interested investors should consider contacting Brian Schall’s office directly at the Schall Law Firm to discuss their legal rights and the potential implications of their involvement in this class action. The firm emphasizes clarity and transparency in its communications and offers consultations at no upfront cost.

Individuals can reach out via several methods: by phone at 310-301-3335, through the firm’s website at www.schallfirm.com, or via email at [email protected]. Investors are encouraged to explore whether they are indeed part of the class eligible for damages and what their rights could entail moving forward.

Conclusion

The Civitas Resources class action lawsuit is a significant opportunity for investors who believe they have suffered due to the alleged misrepresentations by the company. By joining forces with Schall Law Firm and other affected shareholders, there can be a united front against potential injustices experienced in the market. Be proactive and explore your options to recover losses sustained during this turbulent period in Civitas's history.