Settlement Reached in Lannett Company, Inc. Class Action Lawsuit for Affected Stockholders
On January 5, 2026, a significant development emerged from the United States District Court for the Eastern District of Pennsylvania regarding a class action lawsuit involving Lannett Company, Inc. The court revealed that a proposed settlement has been reached that stands at an impressive $5.75 million. This settlement pertains specifically to all individuals and entities who purchased or acquired the publicly traded common stock of Lannett Company, Inc. during the timeframe from July 15, 2014, to October 31, 2017, and who experienced financial damage as a result. The lawsuit, identified as Civil Action No. 216-cv-05932-WB, features prominent plaintiffs, including the University of Puerto Rico Retirement System and the Ironworkers Locals 40, 361, and 417 Union Security Funds.
The executive summary, as outlined in the court’s documents, indicates that a hearing on the proposed settlement is set for April 16, 2026, at 12:30 PM ET. During this critical session, presided over by Judge Wendy Beetlestone, several important matters will be discussed, such as whether the settlement should be deemed fair, reasonable, and adequate. Furthermore, the court will determine if the action should be dismissed with prejudice against the defendants, Lannett Company, Inc., and its executives Arthur P. Bedrosian and Martin P. Galvan.
Notably, details regarding the distribution of the settlement fund are outlined, along with the proposed allocation plan, which aims to ensure that affected stockholders receive appropriate compensation. Additionally, the plaintiffs' counsel will apply for an award of attorneys' fees that could amount to one-third of the settlement total, after accounting for court-awarded litigation expenses. They also seek a compensation of up to $1.375 million to cover their expenses related to this case.
To keep affected parties informed, the notice asserts that members of the settlement class will have their rights potentially impacted by the ongoing lawsuit and the terms of the settlement. For those stockholders who have not yet received detailed notices, it is advised that they contact the claims administrator, A.B. Data, for access to necessary documents such as the Long Notice and Claim Form. Individuals can reach out via mail or through the dedicated website established for this purpose at www.LannettSecuritiesSettlement.com.
For those who wish to file a claim for compensation, adherences to deadlines are crucial. A properly completed Claim Form must be submitted either via post or online no later than April 2, 2026. It is essential to note that any individuals who fail to submit a valid Claim Form will not qualify for a share in the settlement's net proceeds, although they will still be bound by the court's rulings. Conversely, members seeking to opt out of the class action are required to submit their exclusion request by March 13, 2026. This decision ensures they will not be subjected to the judgments or orders resulting from the case.
The court further stipulates that any objections regarding the settlement, the proposed plan of allocation, or the fee application by plaintiffs' counsel must be formally filed with the court by March 13. It is imperative that class members refrain from contacting the court or the defendants directly, directing all inquiries instead to Class Counsel or the Claims Administrator to maintain decorum and procedural integrity.
In light of this substantial settlement announcement, impacted stockholders are encouraged to remain engaged and informed as developments unfold. As the April 16 hearing approaches, it will be a pivotal moment that determines the trajectory concerning Lannett Company's stockholder relations and due compensation for the losses incurred during the specified period.
The executive summary, as outlined in the court’s documents, indicates that a hearing on the proposed settlement is set for April 16, 2026, at 12:30 PM ET. During this critical session, presided over by Judge Wendy Beetlestone, several important matters will be discussed, such as whether the settlement should be deemed fair, reasonable, and adequate. Furthermore, the court will determine if the action should be dismissed with prejudice against the defendants, Lannett Company, Inc., and its executives Arthur P. Bedrosian and Martin P. Galvan.
Notably, details regarding the distribution of the settlement fund are outlined, along with the proposed allocation plan, which aims to ensure that affected stockholders receive appropriate compensation. Additionally, the plaintiffs' counsel will apply for an award of attorneys' fees that could amount to one-third of the settlement total, after accounting for court-awarded litigation expenses. They also seek a compensation of up to $1.375 million to cover their expenses related to this case.
To keep affected parties informed, the notice asserts that members of the settlement class will have their rights potentially impacted by the ongoing lawsuit and the terms of the settlement. For those stockholders who have not yet received detailed notices, it is advised that they contact the claims administrator, A.B. Data, for access to necessary documents such as the Long Notice and Claim Form. Individuals can reach out via mail or through the dedicated website established for this purpose at www.LannettSecuritiesSettlement.com.
For those who wish to file a claim for compensation, adherences to deadlines are crucial. A properly completed Claim Form must be submitted either via post or online no later than April 2, 2026. It is essential to note that any individuals who fail to submit a valid Claim Form will not qualify for a share in the settlement's net proceeds, although they will still be bound by the court's rulings. Conversely, members seeking to opt out of the class action are required to submit their exclusion request by March 13, 2026. This decision ensures they will not be subjected to the judgments or orders resulting from the case.
The court further stipulates that any objections regarding the settlement, the proposed plan of allocation, or the fee application by plaintiffs' counsel must be formally filed with the court by March 13. It is imperative that class members refrain from contacting the court or the defendants directly, directing all inquiries instead to Class Counsel or the Claims Administrator to maintain decorum and procedural integrity.
In light of this substantial settlement announcement, impacted stockholders are encouraged to remain engaged and informed as developments unfold. As the April 16 hearing approaches, it will be a pivotal moment that determines the trajectory concerning Lannett Company's stockholder relations and due compensation for the losses incurred during the specified period.
Topics Financial Services & Investing）
【About Using Articles】
You can freely use the title and article content by linking to the page where the article is posted.
※ Images cannot be used.
【About Links】
Links are free to use.