#United States #New York #Levi & Korsinsky #Dentsply Sirona #DENTSPLY

Levi & Korsinsky Files Class Action for Dentsply Sirona Shareholders

On January 24, 2025, Levi & Korsinsky, LLP announced a significant class action lawsuit on behalf of shareholders of Dentsply Sirona Inc. (NASDAQ: XRAY). This legal action seeks to recover losses incurred by investors who were impacted by alleged securities fraud occurring between May 6, 2021, and November 6, 2024.

Overview of the Lawsuit

The lawsuit focuses on claims that Dentsply made numerous false statements and omitted important information about its operations and product sales strategies. Specifically, it is alleged that the company was targeting low-income individuals who lacked access to proper dental care and insurance. These patients often had pre-existing dental issues that rendered them unsuitable for Dentsply's direct-to-consumer aligner solution, Byte.

The complaint extensively details how the push for Byte's sales growth, coupled with aggressive sales commissions, led to practices where sales staff were incentivized to sell to ineligible patients. This resulted in a flawed patient onboarding process that failed to adequately screen for contraindications, meaning that many individuals were treated without proper safeguards.

Furthermore, the lawsuit claims that reports of serious injuries related to Byte aligners surged. Despite this, Dentsply allegedly did not take necessary actions to investigate these complaints or inform the Food and Drug Administration (FDA), as required within a 30-day timeframe upon learning of significant issues.

Key Allegations

The key points of the lawsuit include:
1. Targeting Vulnerable Populations: Dentsply's marketing allegedly focused on low-income groups lacking dental education, leading to potentially harmful treatments.
2. Inadequate Patient Screening: Sales incentives may have promoted unethical selling practices, where contraindicated patients were signed up for treatment.
3. Failure to Report Injuries: Despite an increase in injury reports linked to Byte, Dentsply reportedly lacked systems to notify the FDA.
4. Overstated Company Value: The complaint contends that these practices misrepresented the goodwill value of Byte, leading to significant misinformation regarding the company's business health.

Next Steps for Affected Investors

If you were a Dentsply Sirona shareholder during the specified time and suffered losses, you have until January 27, 2025, to apply to be the lead plaintiff in this class action. Importantly, participating in this class action does not require you to assume a lead role or incur any costs.

Why Choose Levi & Korsinsky?

With two decades of experience, Levi & Korsinsky has established a strong track record in securing substantial settlements for harmed shareholders. Their team of over 70 professionals is dedicated to representing investors in complex securities litigation, making them a prominent player in this field. Notably, for seven consecutive years, they have ranked among the top securities litigation firms in the U.S. according to ISS Securities Class Action Services.

Contact Information

If you have questions regarding the lawsuit or would like to learn more, you can contact Joseph E. Levi, Esq. at Levi & Korsinsky at (212) 363-7500 or via email at [email protected]. Further details on the lawsuit can be accessed by filling out a submission form through their website.

This lawsuit underlines the risks that shareholders face when companies misrepresent their operational practices and highlights the importance of due diligence in the investment landscape.