RM LAW, P.C. announces that a class action lawsuit has been filed on behalf of all persons or entities that purchased Sunrun Inc. (NASDAQ: RUN) (“Sunrun” or the “Company”) securities between September 10, 2015 and May 2, 2017, inclusive (the “Class Period”).
Sunrun shareholders may, no later than July 3, 2017, move the Court for appointment as a lead plaintiff of the Class. If you purchased shares of Sunrun 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.
Sunrun Inc. engages in the design, development, installation, sale, ownership, and maintenance of residential solar energy systems. The complaint alleges that throughout the Class Period the defendants made false and/or misleading statements, as well as failed to disclose that (1) Sunrun failed to adequately disclose how many customers canceled contracts after signing up for the Company’s home-solar energy systems, (2) discovery of the foregoing conduct would subject the Company to heightened regulatory scrutiny, and (3) as a result, Sunrun’s public statements were materially false and misleading at all relevant times.
On May 3, 2017, the Wall Street Journal published an article entitled “SEC Probes Solar Companies Over Disclosure of Customer Cancellations,” which reported that the Company was the subject of a probe by the Securities and Exchange Commission (“SEC”). The Wall Street Journal article reported, among other things, that according to a person familiar with the investigation, “[t]he SEC recently issued a subpoena to Sunrun and interviewed current and former employees about the adequacy of its disclosures on account cancellations.” Following this news, Sunrun’s shares declined in price by $0.46 per share, or 8.83%, to close at $4.75 per share on May 3, 2017.
On May 22, 2017, the Wall Street Journal published an article entitled “Solar Company Sunrun Was Manipulating Sales Data, Say Former Managers,” which reported that sales managers were told by Sunrun superiors in 2015 that they shouldn’t process customer cancellations until after the Company’s Initial Public Offering (“IPO”). One former manager allegedly changed current cancellations in the Company’s sales system by inputting the date “12/31/2099”. Then, according to the May 3 article in the Wall Street Journal, the former manager subsequently “input the cancelations into Sunrun’s customer-management software after the IPO ‘in a slow drip,’ so as not to call attention to a rise in cancelations.”
If you are a member of the class, you may, no later than July 3, 2017, 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.