RM LAW Announces Class Action Lawsuit Against LendingClub Corporation

BERWYN, Pa., May 4, 2018 /PRNewswire/ -- RM LAW, P.C. announces that a class action lawsuit has been filed on behalf of all persons or entities that purchased LendingClub Corporation (NYSE: LC) ("LendingClub" or the "Company") publicly traded securities between February 28, 2018 and April 25, 2018, inclusive (the "Class Period").

LendingClub shareholders may, no later than June 29, 2018, move the Court for appointment as a lead plaintiff of the Class.  If you purchased shares of LendingClub and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (844) 291-9299 or to sign up online, click here.

LendingClub operates an online marketplace platform that connects borrowers and investors in the United States.

The Class Period begins on February 28, 2015, the day after LendingClub filed its annual report on Form 10-K for the year ended December 31, 2014 ("2014 10-K") with the SEC which provided LendingClub's annual financial results and position. The 2014 10-K stated LendingClub believed that all installment loans offered through its marketplace featured a fixed rate that was "clearly" disclosed to the borrower and which contained "no hidden fees."

On April 25, 2018, the Federal Trade Commission ("FTC") announced in a press release that it had filed a complaint against LendingClub alleging violations of, inter alia, the FTC Act for falsely promising consumers they would receive a loan with "no hidden fees[,]" and the Gramm-Leach-Bliley Act for failing to provide customers with a clear and conspicuous privacy notice so that each customer could reasonably be expected to receive actual notice. The press release stated, in relevant part: "The Federal Trade Commission has charged the LendingClub Corporation with falsely promising consumers they would receive a loan with "no hidden fees," when, in actuality, the company deducted hundreds or even thousands of dollars in hidden up-front fees from the loans."

Following this news, shares of LendingClub fell $.49 per share, or over 15% from its previous closing price to close at $2.77 per share on April 25, 2018.

The complaint alleges that, throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (1) LendingClub falsely promised consumers they would receive a loan with "no hidden fees"; (2) LendingClub's privacy policy did not comply with the Gramm-Leach-Bliley Act; (3) consequently, the foregoing conduct would subject LendingClub's business practices to heightened regulatory scrutiny by the Federal Trade Commission; and (4) as a result, defendants' public statements were materially false and misleading at all relevant times.

If you are a member of the class, you may, no later than June 29, 2018, request that the Court appoint you as lead plaintiff of the class.  A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation.  In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class.  Under certain circumstances, one or more class members may together serve as "lead plaintiff."  Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff.  You may retain RM LAW, P.C. or other counsel of your choice, to serve as your counsel in this action.

For more information regarding this, please contact RM LAW, P.C.  (Richard A. Maniskas, Esquire) toll-free at (844) 291-9299 or by email at rm@maniskas.com or click here.  For more information about class action cases in general or to learn more about RM LAW, P.C. please visit our website by clicking here. 

RM LAW, P.C. is a national shareholder litigation firm.  RM LAW, P.C. is devoted to protecting the interests of individual and institutional investors in shareholder actions in state and federal courts nationwide.

CONTACT: RM LAW, P.C.
Richard A. Maniskas, Esquire
1055 Westlakes Dr., Ste. 300
Berwyn, PA 19312
484-324-6800
844-291-9299
rm@maniskas.com 

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SOURCE RM LAW, P.C.