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Paycom software faces class action lawsuit over Beti product issues

Published 11/18/2023, 04:54 AM
© Reuters.
PAYC
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NEW YORK - Robbins Geller, a law firm with a history of notable recoveries in securities fraud litigation, has filed a class action lawsuit against Paycom (NYSE:PAYC) Software, Inc. (NYSE:PAYC) and its executives. The lawsuit alleges that misleading statements about the company's product Beti led to service cannibalization and significant missed revenue targets for the third quarter of 2023.

The allegations have had a profound impact on Paycom's stock price, which plummeted over 38% following the revelation of Beti's negative impact on revenues on October 31, 2023. The effects of this disclosure are still resonating in the market today.

Robbins Geller is calling on investors who have suffered considerable losses to consider joining the lawsuit as lead plaintiffs. The deadline set by the court to file lead plaintiff motions is January 9, 2024. J.C. Sanchez, an attorney knowledgeable about the case, is available for consultation regarding the class action.

The firm has notably recovered more than $1.75 billion for investors in 2022 and boasts the largest-ever recovery in a securities fraud case with $7.2 billion in the Enron Corp Securities Litigation. This track record underscores their expertise in managing complex class action lawsuits and securing substantial redress for shareholders affected by corporate misconduct.

Investors are encouraged to participate in any potential future recovery from the lawsuit without the necessity of being appointed as lead plaintiffs. Robbins Geller emphasizes that their past successes, including nearly $5.3 billion recovered over three years, demonstrate their commitment to holding corporations accountable for securities fraud and protecting investor interests.

The ongoing litigation against Paycom Software highlights concerns over projected revenue growth issues for the company in the upcoming year as part of the broader allegations made by Robbins Geller. The firm's prominence in this field signals a rigorous legal pursuit as they aim to address the grievances of affected Paycom investors.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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