MEDFAST I : Law Offices of Howard G. Smith Announces Class Action Lawsuit Against Medifast, Inc.
03/23/2011| 07:45pm US/Eastern
Law Offices of Howard G. Smith announces that a class action lawsuit has
been filed on behalf of all persons or entities who purchased the
securities of Medifast, Inc. ("Medifast" or the "Company") (NYSE:MED)
between March 4, 2010 and March 10, 2011, inclusive (the "Class
Period"). The class action lawsuit was filed in the United States
District Court for the District of Maryland.
Medifast engages in the production, distribution and sale of weight
management and disease management products, and other consumable health
and diet products in the United States. The Complaint alleges that
during the Class Period the Company and certain of its executive
officers violated federal securities laws by issuing material
misrepresentations to the market concerning Medifast's business,
operations and prospects, thereby artificially inflating the price of
the Company's securities.
On March 11, 2011, the Company announced a delay completing its
consolidated financial statements for fiscal 2010 and filing its Annual
Report on Form 10-K due to "additional time needed for the Company to
review the recognition of certain expenses in prior periods." Following
this news, Medifast shares declined $5.27 per share from the previous
day's closing price, to close on March 11, 2011 at $16.63 per share on
unusually heavy trading volume.
No class has yet been certified in the above action. Until a class is
certified, you are not represented by counsel unless you retain one. If
you purchased Medifast securities between March 4, 2010 and March 10,
2011, you have certain rights, and have until May 17, 2011, to move for
lead plaintiff status. To be a member of the class you need not take any
action at this time, and you may retain counsel of your choice. If you
wish to discuss this action or have any questions concerning this Notice
or your rights or interests with respect to these matters, please
contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith,
3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone
at (215)638-4847, Toll-Free at (888)638-4847, by email to firstname.lastname@example.org
or visit our website at www.howardsmithlaw.com.
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
© Business Wire 2011