Case Page

 

Case Status:    ONGOING    
On or around 07/21/2017 (Ongoing date of last review)

Filing Date: July 20, 2017

According to the law firm press release, Chipotle Mexican Grill, Inc. owns and operates quick-serve Mexican restaurants. The Company operates restaurants throughout the United States.

In 2015, numerous customers fell ill after eating at Chipotle restaurants, exposing the fact that Chipotle’s quality controls were not in compliance with applicable consumer and workplace safety regulations and were inadequate to safeguard consumer and employee health.

Facing a sharp drop-off in sales, Chipotle responded with widely publicized measures that the Company touted as improvements to its food safety protocols. On February 8, 2016, the Company closed all of its restaurants for several hours for an all-staff meeting regarding food safety. In addition, Chipotle hired a new head of food safety who implemented a number of changes to policies at the Company’s restaurants—for example, requiring all employees to wash their hands every half hour, mandating that two employees verified that certain ingredients had been immersed in hot water for at least five seconds to kill germs, and using Pascalization to pre-treat food ingredients. By touting these measures, along with free food promotions and increased advertising, Chipotle aimed to restore customer confidence in the safety of its food.

The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Chipotle’s purported improvements in its restaurants’ food safety policies were inadequate; (ii) accordingly, Chipotle’s quality controls were still not in compliance with applicable consumer and workplace safety regulations; (iii) in turn, Chipotle’s quality controls remained inadequate to safeguard consumer and employee health; and (iv) as a result of the foregoing, Chipotle’s public statements were materially false and misleading at all relevant times.

COMPANY INFORMATION:

Sector: Services
Industry: Restaurants
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: CMG
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: D. Colorado
DOCKET #: 17-CV-01760
JUDGE: Hon. Scott T. Varholak
DATE FILED: 07/20/2017
CLASS PERIOD START: 02/05/2016
CLASS PERIOD END: 07/19/2017
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Pomerantz LLP (New York)
    600 Third Avenue, Pomerantz LLP (New York), NY 10016
    212.661.1100 212.661.8665 · info@pomerantzlaw.com/
No Document Title Filing Date