5 FREQUENTLY ASKED QUESTIONS: THE PAYCOM CLASS ACTION LAWSUIT

11/16/2023

If you suffered losses in Paycom stock, contact Paycom stock loss lawyer Timothy L. Miles about a Paycom class action lawsuit

INTRODUCTION TO THE PAYCOM CLASS ACTION LAWSUIT

The Paycom class action lawsuit, captioned Ventrillo v. Paycom Software, Inc., No. 23-cv-01019 (W.D. Okla.), was filed in the Western District of Oklahoma and charges Paycom and certain of its top executive officers with violations of the Securities Exchange Act of 1934.

If you suffered losses in Paycom stock and wish to serve as lead plaintiff in the Paycom class action lawsuit, please contact Paycom Stock Loss Lawyer Timothy L. Miles by calling 855/846-6529 or via e-mail at [email protected] or by submitting a contact form. Lead plaintiff motions for the Paycom class action lawsuit must be filed with the court no later than January 16, 2024.

Read on for answers to five frequently asked questions about the Paycom class action lawsuit.

WHAT ARE THE ALLEGATIONS IN THE PAYCOM CLASS ACTION LAWSUIT?

Paycom purports to be a “leading provider of a comprehensive, cloud-based human capital management . . . solution delivered as Software-as-a-Service.”

The Paycom class action lawsuit alleges that defendants throughout the class period made false and/or misleading statements and/or failed to disclose that: (i) Paycom’s Beti product led to cannibalization of Paycom’s services and revenues; (ii) Paycom knew but failed to disclose that Beti was leading to cannibalization of Paycom’s services and revenues, and failed to warn of cannibalization as a general risk; (iii) as a result of cannibalization of revenue, Paycom missed its expected third quarter of 2023 revenue and would have to revise its expected 2023 revenues; and (iv) the cannibalization issue resulted in projected 2024 year-over-year revenue growth to between 10% and 12%, below expectations.

The Paycom class action lawsuit further alleges that on October 31, 2023, Paycom announced that Beti was cannibalizing a portion of Paycom’s services and revenues, which led Paycom to miss revenue projections for the third quarter of 2023 and revise its financial guidance. The No. Even if you suffered losses in Paycom stock, if you purchased securities outside of the Class period, you will not be able to participate in the Paycom class action lawsuit.
alleges that on this news, the price of Paycom stock fell more than 38%.

CAN I BE APPOINTED LEAD PLAINTIFF IN THE PAYCOM CLASS ACTION LAWSUIT IF I PURCHASED SHARES OUTSIDE OF THE CLASS PERIOD?

No. Even if you suffered losses in Paycom stock, if you purchased securities outside of the Class period, you will not be able to participate in the Paycom class action lawsuit.

WILL THE LEAD PLAINTIFFS GET MORE MONEY THAN CLASS MEMBERS IF THE PAYCOM CLASS ACTION LAWSUIT SETTLES?

No, but they may be entitled to recover their reasonable expenses incurred with are directly related to representing the class in the Paycom class action lawsuit. Under the Private Securities Litigation Reform Act of 1995, a Lead Plaintiff is only entitled to his or her pro rata share of any recovery and does not receive any additional money for serving as a representative party on behalf of the class. However, a court, in its discretion, may approve an award of “reasonable costs and expenses (including lost wages)” to a Lead Plaintiff that directly relates to the representation of the class in the Paycom class action lawsuit on behalf of investors who suffered losses in Paycom stock.

CAN I BE LEAD PLAINTIFF IN THE PAYCOM CLASS ACTION LAWSUIT IF I AM LEAD PLAINTIFF IN ANOTHER CASE?

Yes, unless you have been a lead plaintiff in more than five securities class actions during any three-year period which is expressly prohibited by the securities laws. Otherwise, if you suffered losses in Paycom stock, you may move to be appointed lead plaintiff in the Paycom class action lawsuit.

HOW WAS THE CLASS PERIOD DETERMINED IN THE PAYCOM CLASS ACTION LAWSUIT?

In a securities fraud class action, the class period refers to a period of time in which it is alleged the price of the company’s stock was artificially inflated due to false and misleading statements made by company executives. The class period starts when the company makes an untrue statement of material fact about the company or fails to disclose a material fact necessary to render other statements not misleading. The class period ends when the truth is revealed to the investing public through a corrective disclosure.

In order to be a part of the class in the Paycom class action lawsuit, you must have suffered losses in Paycom stock by purchasing during the class period when it is alleged the price of the stock was artificially inflated to be included in the Paycom class action lawsuit.

CONTACT A PAYCOM STOCK LOSS LAWYER TODAY IF YOU SUFFERED LOSSES IN PAYCOM STOCK ABOUT A PAYCOM CLASS ACTION LAWSUIT

If you suffered losses in Paycom stock, contact Paycom stock loss lawyer Timothy L. Miles today for a free case evaluation about a Paycom class action lawsuit. Call today and see what a Paycom stock loss lawyer could do for you if you suffered losses in Paycom stock.

Paycom stock loss lawyer Timothy L. Miles

Nashville attorney Timothy L. Miles is a nationally recognized shareholder rights attorney raised in Nashville, Tennessee. Mr. Miles has dedicated his career to representing shareholders, employees, and consumers in complex class-action litigation. Whether serving as lead, co-lead, or liaison counsel, Mr. Miles has helped recover hundreds of millions of dollars for defrauded investors, shaped precedent-setting decisions, and delivered real corporate governance reforms. Judges and peers have repeatedly recognized Mr. Miles relentless advocacy for the underdog, as well as his unbendable ethical standards. Mr. Miles was recently selected by Martindale-Hubbell® and ALM as a 2022 Top Ranked Lawyer, 2022 Top Rated Litigator, and a 2022 Elite Lawyer of the South. Mr. Miles also maintains the AV Preeminent Rating by Martindale-Hubbell®, their highest rating for both legal ability and ethics. Mr. Miles is a member of the prestigious Top 100 Civil Plaintiff Trial Lawyers: The National Trial Lawyers Association, Class Action: Class Action: Top 100 National Trial Lawyers, National Trial Lawyers Association (2023), a superb rated attorney by Avvo, a recipient of the Lifetime Achievement Award by Premier Lawyers of America (2019) and recognized as a Distinguished Lawyer, Recognizing Excellence in Securities Law, by Lawyers of Distinction (2019); a Top Rated Litigator by Martindale-Hubbell® and ALM (2019-2022); America's Most Honored Lawyers 2020; Top 1% by America's Most Honored (2020-2022). Mr. Miles has published over three hundred articles on various issues of the law, including class actions, whistleblower cases, products liability, civil procedure, derivative actions, corporate takeover litigation, corporate formation, mass torts, dangerous drugs, and more. Please visit our website or Resources center and call for free anytime.

CONTACT
The Law Offices of Timothy L. Miles
Tapestry at Brentwood Town Center
300 Centerview Dr., #247
Brentwood, TN 37027
Phone: (855) 846-6529