The law firm of Lieff Cabraser Heimann & Bernstein, LLP announces that
class action litigation has been brought on behalf of those who
purchased or otherwise acquired the common stock of Yelp, Inc. (“Yelp”
or the “Company”) (NYSE: YELP) between October 29, 2013 and April 3,
2014, inclusive (the “Class Period”).
If you purchased or otherwise acquired Yelp common stock during the
Class Period, you may move the Court for appointment as lead plaintiff
by no later than October 6, 2014. A lead plaintiff is a representative
party who acts on behalf of other class members in directing the
litigation. Your share of any recovery in the action will not be
affected by your decision of whether to seek appointment as lead
plaintiff. You may retain Lieff Cabraser, or other attorneys, as your
counsel in the action.
Yelp
investors who wish to learn more about the action and how to seek
appointment as lead plaintiff should click here or contact Sharon M.
Lee of Lieff Cabraser toll-free at 1-800-541-7358.
Background on the Yelp Securities Class Litigation
The action charges Yelp and certain of its senior officers with
violations of the Securities Exchange Act of 1934. Yelp describes itself
generally as an online networking platform that connects people with
great local businesses.
The complaint alleges that, during the Class Period, defendants made
materially false and misleading statements concerning the Company’s true
business and financial condition, including the true nature of the
“firsthand” experiences and reviews appearing on the Company’s website,
the robustness of its processes and algorithms purportedly designed to
screen unreliable reviews, and the Company’s forecasted financial growth
prospects as well as the extent to which they were reliant upon
undisclosed business practices, including that of requiring business
customers to pay to suppress negative reviews.
Allegedly as a result of defendants’ false and misleading statements,
Yelp’s stock traded at artificially inflated prices during the Class
Period, reaching a high closing price of $98.04 per share on March 4,
2014, as Company insiders sold 1.16 million shares of their Yelp stock
during the Class Period, for proceeds of over $81.5 million.
On March 31, 2014, the Los Angeles Times published an article
entitled “Yelp’s practices sound to some like extortion.” The article
reviewed the Company’s practice of offering business customers a paid
service to suppress negative reviews. On April 2, 2014, the Wall
Street Journal reported that the Federal Trade Commission had
received at least 2,046 complaints about Yelp since 2008. As the market
absorbed this news, Yelp’s stock price dropped $14.42 per share, or
nearly 18%, over three trading days, from a close of $80.18 on April 1,
2014, to close at $65.76 per share on April 4, 2014.
About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco,
New York, and Nashville, is a nationally recognized law firm committed
to advancing the rights of investors and promoting corporate
responsibility.
The National Law Journal has recognized Lieff Cabraser as one of
the nation’s top plaintiffs’ law firms for eleven years. In compiling
the list, the National Law Journal examines recent verdicts and
settlements and looked for firms “representing the best qualities of the
plaintiffs' bar and that demonstrated unusual dedication and
creativity.” Best Lawyers and U.S. News have also named
Lieff Cabraser as a “Law Firm of the Year” each year the publications
have given this award to law firms.
For more information about Lieff Cabraser and the firm’s representation
of investors, please visit http://www.lieffcabraser.com.
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Copyright Business Wire 2014