According to the Complaint, Polished.com Inc. purports to sell furniture, fitness equipment, plumbing fixtures, televisions, outdoor appliances, and patio furniture, as well as commercial appliances for builder and business clients as a content-driven and technology-enabled shopping destination for appliances, furniture and home goods.
On or about July 27, 2020, Defendants held the IPO for 1847 Goedeker Inc., issuing approximately 1,111,200 shares to the investing public at $9.00 per share, pursuant to the Registration Statement.
On July 20, 2022, the Company changed its name from 1847 Goedeker Inc. to Polished.com Inc. In connection with the name change, the Company’s common stock ceased trading under the ticker symbol “GOED” and began trading under the ticker symbol “POL.”
The Complaint alleges that the registration statement supporting the IPO was false and/or misleading and/or failed to disclose that: (1) the Company would restate certain financials; (2) the Company's internal controls were inadequate; (3) the Company downplayed and obfuscated its internal controls issues; (4) as a result, the Company would engage in an independent investigation; (5) as a result of the investigation, the Company would, among other things, retain independent counsel and consultants, and delay its quarterly filings in violation of NYSE requirements of listing; (6) following the commencement of the investigation, the Company's CEO and CFO would leave the Company; and (7) as a result, Defendants' public statements were materially false and/or misleading at all relevant times.
Additionally, the Complaint alleges Defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (1) the Company's internal controls were inadequate; (2) the Company downplayed and obfuscated its internal controls issues; (3) the Company did not properly construct or remediate its inadequate and ineffective internal controls; (4) contrary to the Company's statements, the Company was not remediating its internal controls; (5) as a result, the Company would engage in an independent investigation; (6) as a result of the investigation, the Company would, among other things, retain independent counsel and consultants, and delay its quarterly filings in violation of NYSE requirements of listing; (7) following the commencement of the investigation, the Company's CEO and CFO would leave the Company; and (8) as a result, Defendants' public statements were materially false and/or misleading at all relevant times.
When the true details entered the market, the lawsuit claims that investors suffered damages.
On September 8, 2023, the Court issued an Order appointing Lead Plaintiff and Counsel. Lead Plaintiff filed an amended Complaint on October 31.
The Company filed a Notice of Suggestion of Bankruptcy and Automatic Stay of Proceedings on March 11, 2024. The individual Defendants filed a Motion to Dismiss the amended Complaint on June 21.
On January 24, 2025, the Court issued an Order granting Defendants' Motion to Dismiss. Plaintiff was given leave to amend the Complaint. Lead Plaintiff filed a second amended Complaint on February 24, 2025.
