#United States #San Diego #Silvergate Capital #Cohen Milstein #Bernstein Litowitz

Proposed Settlement in Silvergate Capital Corporation Class Action

Introduction
Cohen Milstein Sellers & Toll PLLC, along with Bernstein Litowitz Berger & Grossmann LLP, has recently taken a significant step in the ongoing securities litigation concerning Silvergate Capital Corporation. This action affects all individuals and entities that purchased or acquired the publicly traded common and preferred stocks of Silvergate Capital between November 7, 2019, and March 21, 2023. With the potential settlement of $37.5 million, this case brings forth a crucial moment for shareholders impacted during this period.

Background of the Case

The lawsuit revolves around allegations that Silvergate Capital may have misled investors regarding their financial prospects, particularly surrounding securities offerings in 2021. Investors who acquired stock during the class period and significantly faced damages might qualify for the proposed settlement. This issue highlights the importance of transparency and accountability within publicly traded entities, especially in the rapidly evolving financial landscape.

August 13, 2025, is the deadline for potential exclusion from the settlement class. Those who opt out will not be eligible for any financial recovery but will retain the right to pursue separate legal action against Silvergate Capital if they choose.

Settlement Details

The anticipated settlement amount of $37.5 million aims to resolve all claims associated with this action. If the court approves the settlement, it will mark a critical juncture in compensating shareholders who have suffered losses due to alleged misconduct. Plaintiffs have argued that the company did not disclose vital information that could have influenced investors’ decisions during the class period.

A hearing to review the proposed settlement is scheduled for September 3, 2025. Shareholders and interested parties are encouraged to attend this hearing, which will be held at the U.S. District Court for the Southern District of California. Here, Judge James E. Simmons, Jr. will assess whether the settlement is fair and reasonable, and whether it addresses the needs of the affected shareholders adequately.

Next Steps for Investors

Silvergate Capital shareholders should be proactive in learning about their rights in relation to the proposed settlement. To be eligible for compensation from the settlement, class members must submit a Claim Form postmarked no later than October 21, 2025. They can obtain these forms through the claims administrator, JND Legal Administration, or directly from the established settlement website.

Moreover, objections to the settlement proposal, allocation plan, or the request for attorneys’ fees must also be submitted by August 13, 2025. It is crucial that affected shareholders are aware of the timelines and requirements to ensure their participation in this critical settlement process.

Conclusion

The proposed settlement between Cohen Milstein and Bernstein Litowitz signifies a pivotal moment for those involved in the Silvergate Capital Corporation litigation. It emphasizes the constant struggle for investor rights and highlights the necessity of safeguarding against misinformation in the stock market. Investors are encouraged to remain engaged and informed as the hearing approaches and the potential for recovery becomes more tangible.

By monitoring developments and adhering to guidelines for the settlement process, affected shareholders can navigate this case effectively, ensuring their voices and financial interests are duly represented.