Case Page

 

Case Status:    ONGOING    
On or around 07/05/2016 (Ongoing date of last review)

Filing Date: August 07, 2015

According to the law firm press release, TriNet is a provider of a comprehensive human resources solution for small to medium-sized businesses, enabling clients to outsource their human resources, or HR, function to one strategic partner. The Company’s HR solutions include services such as payroll processing, human capital consulting, employment law compliance and employee benefits.

The complaint alleges that during the Class Period, defendants issued materially false and misleading statements regarding the Company’s current financial condition and quarterly and year-end revenue and earnings outlook for fiscal 2014 and 2015. Specifically, defendants’ statements during the Class Period were each false and misleading, because defendants knew or deliberately disregarded and failed to disclose the following facts: (a) the Company’s processes and methodologies for analyzing and accruing claims failed to properly account for historical claims trends; (b) the Company’s forecasting process failed to properly incorporate relevant historical and current claims trends; and (c) the Company was experiencing growing claims trends in medical and workers compensation that negatively affected the Company’s current and future business prospects. As a result of these misrepresentations and omissions, TriNet stock traded at artificially inflated prices during the Class Period, reaching a high of $37.88 per share on March 3, 2015.

On March 3, 2015, TriNet announced disappointing fourth quarter fiscal 2014 financial results, missing both its insurance revenue and income expectations due to an increase in large medical claims. On May 5, 2015, TriNet announced its financial results for the first quarter of fiscal 2015, again missing expectations due to higher than expected workers compensation costs. Then on August 3, 2015, the Company issued a press release announcing its second quarter fiscal 2015 financial results. The Company reported financial results that missed both revenue and earnings per share estimates by a wide margin due to another increase in high-volume medical claims. On this news, the Company’s stock price declined 38%, from a close of $26.69 per share on August 3, 2015 to a close of $16.33 per share on August 4, 2015, on high trading volume.

On December 3, 2015, the Court issued an Order appointing lead plaintiff and approving lead counsel. Lead Plaintiff filed a consolidated complaint on February 1, 2016. An amended complaint was filed on April 1.

COMPANY INFORMATION:

Sector: Services
Industry: Business Services
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: TNET
Company Market: New York SE
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: N.D. California
DOCKET #: 15-CV-03625
JUDGE: Hon. Beth Labson Freeman
DATE FILED: 08/07/2015
CLASS PERIOD START: 05/05/2014
CLASS PERIOD END: 08/03/2015
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Holzer & Holzer, LLC
    1117 Perimeter Center West, Suite E-107, Holzer & Holzer, LLC, GA 30338
    770.392.0090 770.392-0029 · mfistel@holzerlaw.com
  2. Robbins Geller Rudman & Dowd LLP (San Francisco)
    100 Pine Street, Suite 2600, Robbins Geller Rudman & Dowd LLP (San Francisco), CA 94111
    415.288.4545 415.288.4534 ·
No Document Title Filing Date
COURT: N.D. California
DOCKET #: 15-CV-03625
JUDGE: Hon. Beth Labson Freeman
DATE FILED: 04/01/2016
CLASS PERIOD START: 03/27/2014
CLASS PERIOD END: 02/29/2016
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Holzer Holzer & Fistel, LLC (Atlanta)
    200 Ashford Center North, Suite 300, Holzer Holzer & Fistel, LLC (Atlanta), GA 30338
    770.392.0090 770.392.0090 ·
  2. Robbins Geller Rudman & Dowd LLP (New SF Office)
    One Montgomery Street, Suite 1800, Robbins Geller Rudman & Dowd LLP (New SF Office), CA 94104
    (415) 288-4545 (415) 288-4534 ·
No Document Title Filing Date