NEW YORK, Nov. 25, 2019 /PRNewswire/ -- Bernstein
Liebhard, a nationally acclaimed investor rights law firm,
announces the filing of a securities class action on behalf of
shareholders that purchased or acquired shares of The RealReal,
Inc. ("RealReal" or the "Company") (NASDAQ: REAL) between
June 24, 2019 and November 25, 2019, inclusive (the "Class
Period"). The lawsuit filed in the
United States District Court for the Northern District of
California alleges violations of
the Securities Act of 1933.
If you purchased REAL securities, and/or would like to
discuss your legal rights and options please visit RealReal
Shareholder Class Action Lawsuit or contact Matthew E. Guarnero toll free at (877)
779-1414 or MGuarnero@bernlieb.com.
The complaint filed in this class action alleges that throughout
the Class Period, Defendants made materially false and/or
misleading statements, as well as failed to disclose material
adverse facts about the Company's business, operations and
prospects. Specifically, Defendants failed to disclose to investors
that: (1) the Company's employees received little training on how
to spot fake items; (2) the Company's strict quotas on its
employees exacerbated product authentication issues; (3)
consequently, the potential for counterfeit or mislabeled items to
make it through the Company's authentication process was higher
than disclosed; and (4) as a result, Defendants' statements about
the Company's business, operations, and prospects were materially
false and misleading and/or lacked a reasonable basis at all
relevant times.
On November 5, 2019, CNBC
published an investigative report that showed that the Company's
authentication process was not as robust as it led consumers to
believe. CNBC spoke with "nearly three dozen former employees and
obtained internal company documents that show not everything is
authenticated by an expert and employees work under strict quotas
that lead to fakes being sold on the site."
On this news, the Company's share price fell $3.80 or over 19% over the next two trading days
to close at $19.37 on November 6, 2019. Since the IPO, and as a result
of the disclosure of material adverse facts omitted from RealReal's
Registration Statement, RealReal's stock price has fallen below its
IPO price, damaging investors.
If you wish to serve as lead plaintiff, you must move the Court
no later than January 24, 2020. A
lead plaintiff is a representative party acting on behalf of other
class members in directing the litigation. Your ability to share in
any recovery doesn't require that you serve as lead plaintiff. If
you choose to take no action, you may remain an absent class
member.
If you purchased RealReal securities, and/or would like to
discuss your legal rights and options please visit
https://www.bernlieb.com/cases/therealrealinc-real-shareholder-class-action-lawsuit-stock-fraud-225/apply
or contact Matthew E. Guarnero toll
free at (877) 779-1414 or MGuarnero@bernlieb.com.
Since 1993, Bernstein Liebhard LLP has recovered over
$3.5 billion for its clients. In
addition to representing individual investors, the Firm has been
retained by some of the largest public and private pension funds in
the country to monitor their assets and pursue litigation on their
behalf. As a result of its success litigating hundreds of lawsuits
and class actions, the Firm has been named to The National
Law Journal's "Plaintiffs' Hot List" thirteen times and
listed in The Legal 500 for ten consecutive
years.
ATTORNEY ADVERTISING. © 2019 Bernstein Liebhard LLP. The law
firm responsible for this advertisement is Bernstein Liebhard LLP,
10 East 40th Street, New York, New
York 10016, (212) 779-1414. The lawyer responsible for this
advertisement in the State of
Connecticut is Michael S. Bigin. Prior results do not
guarantee or predict a similar outcome with respect to any future
matter.
Contact Information
Matthew E. Guarnero
Bernstein Liebhard LLP
https://www.bernlieb.com
(877) 779-1414
MGuarnero@bernlieb.com
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SOURCE Bernstein Liebhard LLP