Robbins LLP: FleetCor Technologies, Inc. (FLT) Misled Shareholders According to a Class Action
Robbins LLP announces that a class action complaint was filed against FleetCor Technologies, Inc. (NYSE: FLT) in the U.S. District Court for the Northern District of Georgia, Atlanta Division. The complaint is brought on behalf of all purchasers of FleetCor securities between February 5, 2016 and May 2, 2017, for alleged violations of the Securities Exchange Act of 1934 by FleetCor’s officers and directors. FleetCor provides fuel cards, commercial payment and data solutions, gift card and stored value solutions, and workforce payment products and services primarily in the United States, Brazil, and the United Kingdom.
FleetCor Accused of Relying on Predatory Sales Practices
According to the complaint, FleetCor represented to investors that it clearly discloses its fees to customers and that it focuses on helping employers control spending and save money. Despite these assertions, FleetCor fraudulently overcharged its customers, disseminated misleading marketing materials, and did not clearly disclose its fees in its contracts. Investors began to learn the truth on December 19, 2016, when Chevron – FleetCor’s largest U.S. partner – announced that it terminated its relationship with the company and signed a long-term contract with FleetCor’s primary competitor. On March 1, 2017, investigative news and legal analysis company Capitol Forum published an article describing how FleetCor’s business model relies on overcharging customers and padding fee income through late fees even when customers pay on time. On April 4, 2017, Citron issued a report accusing FleetCor of being a “predatory company by design, whose core strategy is to methodically rip off its customers, using business practices and fees that are designed to deceive.” On May 1, 2017, Chevron sued FleetCor in Texas State court for breach of contract. Since FleetCor’s corrective disclosures began, the company’s stock price fell over 11% to close at $131.26 per share on May 3, 2017.
FleetCor Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leonid Kandinov at (800) 350-6003, or you can complete the form below and we will contact you directly.