Rosen Law Firm Announces Proposed Settlement for Latch, Inc. (LTCH) Stockholders

The Rosen Law Firm, P.A., a well-known law firm with a strong history of representing investors, has announced a significant class action settlement that may benefit those who purchased common stock in Latch, Inc. (OTCMKTS: LTCH) during a specific period. The settlement, valued at $1.95 million, is aimed at resolving all claims in a class action lawsuit that accuses Latch of misleading investors about its business operations and financial performance.

Overview of the Lawsuit

The class action concerns individuals and entities who bought or acquired Latch’s common stock between June 7, 2021, and August 1, 2023. The lawsuit alleges that Latch, Inc., a company focused on smart building technology and access systems, made false and misleading statements during this period. Specifically, the class action claims that Latch failed to disclose critical information about the company’s revenue recognition practices and internal financial controls.

One of the central allegations is that Latch had unreported sales arrangements related to its hardware devices, which led to improper revenue recognition for fiscal 2021 and the first quarter of 2022. This issue, according to the lawsuit, resulted in the company’s financial statements being restated to correct the errors. Furthermore, the lawsuit asserts that there were material weaknesses in Latch’s internal control over financial reporting during this time, especially concerning revenue recognition.

As a result of these alleged deficiencies, Latch restated its financial statements, which impacted investors who had relied on the original, misleading financial reports. The class action seeks to hold the company accountable for these misstatements and any financial losses that investors suffered as a result.

Proposed Settlement Details

In an effort to resolve the lawsuit, Latch and the plaintiffs have reached a proposed settlement. The total settlement amount is $1,950,000 in cash, which will be distributed among eligible class members. The Rosen Law Firm has played a key role in securing this settlement, which is intended to compensate investors who were affected by the alleged misstatements and misrepresentations made by Latch.

The settlement funds will be distributed according to a plan that considers the losses of each investor. Eligible investors who purchased or acquired Latch securities during the class period will need to submit a claim form to be considered for compensation. Detailed instructions on how to file a claim and what documents are required will be made available through the settlement website.

Upcoming Court Hearing

A critical step in finalizing the settlement will take place during a hearing scheduled for May 28, 2025, at 4:30 p.m. The hearing will be held before Judge John G. Koeltl at the Daniel Patrick Moynihan United States Courthouse in New York City. At this hearing, the court will determine whether the proposed settlement is fair, reasonable, and adequate for the affected investors.

Investors who wish to voice their opinions on the settlement or seek to opt out of the class action will be given an opportunity to do so at the hearing. Those who wish to object or participate in the proceedings are encouraged to review the settlement documents thoroughly.

Eligibility and Claim Process

Investors who believe they are eligible to participate in the settlement must ensure they meet the criteria outlined in the settlement notice. To be eligible, investors must have purchased or acquired Latch common stock during the class period (June 7, 2021, through August 1, 2023). Affected investors must submit a claim form by the deadline specified in the notice to receive compensation from the settlement fund.

The Rosen Law Firm has provided an official settlement website, where investors can find detailed instructions on the claims process, eligibility requirements, and other relevant information. The website also contains updates regarding the court proceedings and the upcoming hearing. Investors are encouraged to visit the website regularly for any important announcements and deadlines.

About The Rosen Law Firm, P.A.

The Rosen Law Firm, P.A. is one of the leading securities class action law firms in the United States. The firm has an extensive track record of achieving favorable settlements for investors in securities fraud cases. Rosen’s team of experienced attorneys is dedicated to protecting investors’ rights and holding companies accountable for misleading practices.

Rosen’s expertise in securities law has earned it a reputation for securing significant settlements and judgments in complex class action lawsuits. The firm’s work in this particular case involving Latch, Inc. is a testament to its commitment to representing the interests of investors who have been harmed by corporate misconduct.

Additional Resources

For more information about the proposed settlement, affected investors can visit the official settlement website:
Official Settlement Website

Investors who need assistance with the claims process or who have questions about the settlement can also contact The Rosen Law Firm directly:
The Rosen Law Firm – Contact Page

For those interested in learning more about securities class action lawsuits, the U.S. Securities and Exchange Commission (SEC) provides resources about the legal rights of investors:
SEC – Investor Alerts and Bulletins

Conclusion

The proposed class action settlement for Latch, Inc. investors represents a significant opportunity for affected individuals to recover financial losses linked to the company’s alleged misstatements and internal control failures. As the settlement process moves forward, investors must take note of important deadlines and the upcoming court hearing to ensure their participation. The Rosen Law Firm continues to demonstrate its commitment to investor advocacy, and this settlement offers a potential resolution for those impacted by the events of the class period.

As the court hearing date approaches, affected investors should stay informed and consider reaching out to the Rosen Law Firm for any further clarification regarding the settlement process.

This article has been carefully fact-checked by our editorial team to ensure accuracy and eliminate any misleading information. We are committed to maintaining the highest standards of integrity in our content.