WELCOME TO THE GRUBHUB SECURITIES LITIGATION WEBSITE
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A telephonic hearing (the “Final Approval Hearing”) shall be held before the Court on January 12, 2023, at 9:00 A.M. CST. The call-in number is 1-888-684-8852 and the access code is 746-1053.
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The Court has extended the deadline for objections to the motion for final approval or the motion for attorney's fees and expenses and other awards. Objections must be filed by no later than December 31, 2022.
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This website has been established to provide general information related to the proposed settlement of the lawsuit referred to as Azar v. Grubhub, Inc., et al., No. 1:19-cv-07665 (the “Litigation”), and pending before the Honorable Matthew F. Kennelly in the United States District Court for the Northern District of Illinois (Eastern Division) (the “Court”). The capitalized terms used on this website, and not otherwise defined, shall have the same meanings ascribed to them in the Stipulation of Settlement dated October 7, 2022 (the "Stipulation"), which can be found and downloaded by clicking on the Case Documents tab above.
The law firm of Robbins Geller Rudman & Dowd LLP represents you and other Class Members. You will not be charged for these lawyers. They will be paid from the Settlement Fund to the extent the Court approves their application for fees and expenses. If you want to be represented by your own lawyer, you may hire one at your own expense.
WHAT IS THIS LAWSUIT ABOUT?
This is a securities class action brought by Lead Plaintiff City of Pontiac Reestablished General Employees' Retirement System and City of Pontiac Police & Fire Retirement System ("Lead Plaintiff") against Grubhub, Inc. ("Grubhub" or the "Company") and individuals Matthew Maloney and Adam DeWitt (collectively, "Defendants") for alleged violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the “Exchange Act”) on behalf of all Persons who purchased or otherwise acquired the common stock of Grubhub between April 25, 2019 and October 28, 2019, inclusive, and were damaged thereby.
Lead Plaintiff filed its Complaint for Violations of the Federal Securities Laws on July 24, 2020 (the "Complaint"). Among other things, the Complaint alleges violations of the Exchange Act when the Company allegedly concealed from investors that while expanding into new territories it failed to build adequate restaurant density necessary to attract high-quality and profitable diners, the Company was attracting lower-quality and less-profitable diners, and the Company’s business strategy and enterprise customer contracts were hurting profitability. Lead Plaintiff alleges that the false and misleading statements and omissions artificially inflated Grubhub’s stock price and, when the truth was eventually disclosed, the price of Grubhub stock declined, resulting in substantial damages to the Class. Thus, Lead Plaintiff alleges that Class Members overpaid for Grubhub common stock during the relevant time period. Defendants deny all of Lead Plaintiff's allegations.
If you purchased or otherwise acquired Grubhub common stock between April 25, 2019 and October 28, 2019, inclusive, and were damaged thereby, you are a Class Member. Excluded from the Class are: Defendants, the current and Class Period officers and directors of the Company, the members of the immediate families and the legal representatives, affiliates, heirs, successors-in-interest, or assigns of any such excluded person, and any entity in which such excluded persons have or had a controlling interest. Also excluded from the Class are those Persons who timely and validly request exclusion from the Class pursuant to the Notice.
WHAT DOES THE SETTLEMENT PROVIDE?
The proposed Settlement will create a cash settlement fund of $42,000,000 in cash. The balance of this fund after payment of Court-approved attorneys’ fees and expenses and any award to Lead Plaintiff and the costs of claims administration, including the costs of printing and mailing the Notice and the cost of publishing newspaper notice, and Taxes and Tax Expenses (the “Net Settlement Fund”), will be divided among all eligible Class Members who send in valid Proof of Claim and Release forms ("Proof of Claim" or "Claim Form").
Your share of the Net Settlement Fund will depend on several things, including the total amount of claims represented by the valid Claim Forms that Class Members send in, compared to the amount of your claim, as calculated under the Plan of Allocation outlined in the Notice.
ADDITIONAL INFORMATION
Although the information on this website is intended to assist you, it does not replace the information contained in the Notice and the Stipulation. We recommend you read the Notice and other relevant case documents carefully.
YOUR LEGAL RIGHTS AND OPTIONS IN THIS SETTLEMENT
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SUBMIT A CLAIM
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This is the only way to be eligible to receive a payment. If you are a Class Member, and do not exclude yourself from the Class, you will be bound by the Settlement as approved by the Court and you will give up any Released Claims that you have against the Defendants and the other Released Parties. Claim Forms must be postmarked (if mailed) or received (if submitted online) on or before February 2, 2023.
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EXCLUDE YOURSELF
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If you exclude yourself from the Class, you will not be eligible to receive any payment from the Settlement Fund. This is the only option that potentially allows you to participate in another lawsuit against the Defendants or the other Released Parties relating to the Released Claims being released in this case. Should you elect to exclude yourself from the Class, you should understand that Defendants and the other Released Parties will have the right to assert any and all defenses they may have to any claims that you may seek to assert, including, without limitation, the defense that any such claims are untimely under applicable statutes of limitations and statutes of repose. Exclusions must be postmarked on or before December 22, 2022.
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OBJECT
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You may write to the Court if you do not like this Settlement, the Plan of Allocation and/or the request for attorneys’ fees and expenses. You will still be a Member of the Class. Objections must be received by the Court and counsel for the Settling Parties on or before December 31, 2022.
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ATTEND A HEARING ON JANUARY 12, 2023 AT 9:00 A.M. CST
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Submitting a written objection and notice of intention to appear by December 22, 2022, allows you to speak in Court about the fairness of the Settlement, the Plan of Allocation and/or the request for attorneys’ fees and expenses. If you submit a written objection, you may (but you do not have to) attend the hearing and speak to the Court about your objection.
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DO NOTHING
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If you are a Member of the Class and you do not submit a Proof of Claim by February 2, 2023, you will not be eligible to receive any payment from the Settlement Fund. You will, however, remain a Member of the Class, which means that you give up your right to sue about the claims that are resolved by the Settlement and you will be bound by any judgments or orders entered by the Court in the action.
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IMPORTANT DATES AND DEADLINES
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Submit Proof of Claim
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February 2, 2023
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Request Exclusion
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December 22, 2022
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Submit Written Objection
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December 31, 2022
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Submit Notice of Intent to Appear
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December 22, 2022
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Final Approval Hearing
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January 12, 2023, at 9:00 A.M. CST
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