CS Disco, Inc. Securities Class Action Litigation
Securities class action litigation has been filed on behalf of investors who purchased or otherwise acquired common stock of CS Disco, Inc. (“CS Disco” or the “Company”) (NYSE: LAW) between July 21, 2021 and August 11, 2022, inclusive (the “Class Period”).
If you purchased common stock of CS Disco during the Class Period, you may move the Court for appointment as lead plaintiff by no later than November 20, 2023.
A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Your share of any recovery in the actions will not be affected by your decision of whether to seek appointment as lead plaintiff. You may retain Lieff Cabraser, or other attorneys, as your counsel in the action.
CS Disco investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff should complete the form below, text or email firstname.lastname@example.org, or call Lieff Cabraser partner Sharon M. Lee at 1-800-541-7358.
Background on the CS Disco Securities Class Litigation
CS Disco provides technologies to simplify electronic discovery, legal document review, legal hold and case management for enterprises, law firms, legal services providers, and governments.
The securities class action alleges that, throughout the Class Period, CS Disco made materially false and misleading statements touting strong growth in its revenues attributable to customer usage of its cloud-based electronic discovery platform and that it had good visibility into changes in customer demand. Defendants failed to disclose that: (1) the Company’s past revenue growth was attributable to a small number of large customers who had since decided to stop purchasing CS Disco’s services; and (2) as a result, the Company’s statements about its business and operations were materially false or misleading at all relevant times.
On August 11, 2022, CS Disco reported disappointing financial results for the second quarter of 2022, revealing that its revenue growth had dwindled from the previous year, and lowered its full year 2022 guidance, noting that it will no longer include any revenue attributable to its largest customers. In effect, the Company revealed that its prior growth was driven by a small number of major clients whose business it had since lost. On this news, CS Disco’s stock price dropped $15.53 per share, or 53.63%, from its closing price of $28.96 on August 11, 2022, to close at $13.43 on August 12, 2022, on elevated trading volume.
About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, Nashville, and Munich, is an internationally-recognized law firm committed to advancing the rights of investors and promoting corporate responsibility. Recognized as a “Plaintiffs’ Powerhouse” by Law360, Lieff Cabraser has litigated some of the most important civil cases in the United States, and has assisted clients in recovering over $129 billion in verdicts and settlements. Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.” In 2021, The American Lawyer named our firm its “Boutique Litigation Firm of the Year.” Benchmark Litigation has named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America,” and listed us as its “2020 California Plaintiff Firm of the Year.” Lieff Cabraser is committed to ensuring access to justice for all.