Spectrum Brands Legacy, Inc. is a consumer products company that supplies batteries, residential lock sets, builders hardware, faucets, personal care, household appliances, pet supplies, garden accessories, and home pest control products.

According to the law firm press release, the complaint alleges that Spectrum misrepresented and failed to disclose that: (i) Spectrum had been self-inflicting the operational issues at its Ohio and Kansas facilities; (ii) these operational issues were, in fact, recurring in nature; (iii) these operational issues would continuously impact production, shipping levels and sales; and (iv) as a result of the foregoing, the Company’s financial statements were materially false and misleading at all relevant times.

On April 26, 2018, Spectrum issued a press release announcing its financial and operating results for the second fiscal quarter ended April 1, 2018, reporting a net income of $0.8 million compared to net income of $39.9 million in the previous year’s comparable quarter. The same day, Spectrum announced that its CEO was stepping down, effective immediately. Following this news, shares of Spectrum fell from a close of $94.23 per share on April 24, 2018, to a close of $75.01 per share the following day.

On June 12, 2019, the Court issued an Order consolidating cases and appointing Lead Plaintiffs and Counsel. The cases were consolidated into Lead Case 19-CV-00347. Lead Plaintiffs filed an amended Complaint on July 12. Defendants filed a Motion to Dismiss the amended Complaint on August 26.

The parties notified the Court that they had agreed to mediation on January 7, 2020, and because the mediation could resolve the case, the Court denied the Motion to Dismiss the amended Complaint.

The parties notified the Court that they had reached an Agreement in Principle to settle the action on July 1, 2020. On August 10, the parties entered into a Stipulation and Agreement of Settlement. The Court issued an Order granting preliminary approval of the Settlement on September 29. On January 8, 2021, Class members filed an objection to the Settlement. On February 6, the Court issued an Order denying approval of the Settlement.

Pursuant to the Court's February 6, 2021 Order, Lead Plaintiffs submitted a proposed plan to the Court to divide the putative class into separate subclasses of Spectrum investors and HRG investors. On June 10, 2021 the Court appointed a Lead Plaintiff and Lead Counsel for the HRG subclass of investors. On August 27, the Court issued an Order severing the claims of the Spectrum Plaintiffs from the claims of the HRG Plaintiffs. The claims of the Spectrum Plaintiffs were to proceed under Docket 19-CV-00347 while the claims of the HRG Plaintiffs were to proceed under a new case with Docket number 21-CV-00552.

The parties entered into a Stipulation and Agreement of Settlement for the Spectrum subclass of investors on August 27, 2021. The parties entered into a Stipulation and Agreement of Settlement for the HRG subclass of investors on October 8. On November 17, the Court granted preliminary approval of both Settlements. On March 21, 2022, the Court granted final approval of the Settlement, including an Award of Attorneys' Fees and Expenses, and entered Final Judgment for the Spectrum subclass Settlement. On March 28, the Court granted final approval of the Settlement, including an Award of Attorneys' Fees and Expenses, and entered Final Judgment for the HRG subclass Settlement.

On November 18, 2022, the Court issued an Order approving distribution of the net Settlement fund.