RADNOR, PA / ACCESSWIRE / April 28, 2020 / The law firm of Kessler Topaz Meltzer & Check, LLP reminds Norwegian Cruise Line Holdings Ltd. (NCLH) (“Norwegian”) investors that a securities fraud class action lawsuit has been filed on behalf of those who purchased or otherwise acquired Norwegian publicly traded securities between February 20, 2020 and March 12, 2020, inclusive (the “Class Period”).
REMINDER: Investors who purchased or otherwise acquired Norwegian securities during the Class Period may, no later than May 11, 2020, seek to be appointed as a lead plaintiff representative of the class. For additional information or to learn how to participate in this litigation, please click https://www.ktmc.com/norwegian-cruise-line-holdings-securities-class-action?utm_source=PR&utm_medium=link&utm_campaign=norwegian%20cruise.
According to the complaint, Norwegian is a global cruise company that operates the Norwegian Cruise Line, Oceania Cruise Line, Oceania Cruises, and Regent Seven Seas Cruises brands. On August 1, 2017, Norwegian updated its Code of Ethical Business Conduct, which is posted on its website. The Code of Ethical Business Conduct, available throughout the Class Period, discussed health and safety standards, stating in relevant part that its environmental, health and safety “programs are designed to ensure the preservation of the environment, and safety and security of [Norwegian]’s guests, team members, and vendors.” In December of 2019, a novel coronavirus strain, COVID-19, was detected in the city of Wuhan in Hubei province, China. Since then, the virus has spread to numerous countries. The spread of COVID-19 has had a significant impact on the cruise industry, with reports of canceled trips and half-empty ships.
The Class Period commences on February 20, 2020, when Norwegian filed a Form 8-K with the SEC. Attached to the Form 8-K was a press release reporting on Norwegian’s financial results for the quarter and full-year ended December 31, 2019. In that press release, the defendants discussed positive outlooks for Norwegian in spite of the COVID-19.
On March 11, 2020, the Miami New Times reported in an article “Leaked Emails: Norwegian Pressures Sales Team to Mislead Potential Customers About Coronavirus” that leaked emails from a Norwegian employee showed that Norwegian directed its sales staff to lie to customers regarding COVID-19. Further, the Miami New Times article revealed the financial impact the COVID-19 outbreak was causing on Norwegian and its employees. Following this news, Norwegian’s share price fell $5.47 per share, or approximately 26.7%, to close at $15.03 per share on March 11, 2020.
The complaint alleges that, throughout the Class Period, the defendants made false and/or misleading statements and/or failed to disclose that: (1) Norwegian was employing sales tactics of providing customers with unproven and/or blatantly false statements about COVID-19 to entice customers to purchase cruises, thus endangering the lives of both their customers and crew members; and (2) as a result, the defendants’ statements regarding Norwegian’s business and operations were materially false and misleading and/or lacked a reasonable basis at all relevant times.
Investors who wish to discuss this securities fraud class action lawsuit and their legal options are encouraged to contact Kessler Topaz Meltzer & Check, LLP (James Maro, Jr., Esq. or Adrienne Bell, Esq.) at (844) 877-9500 (toll-free) or firstname.lastname@example.org.
Norwegian investors may, no later than May 11, 2020, seek to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check, or other counsel, or may choose to do nothing and remain an absent class member. A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. In order to be appointed as a lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members and that the class member will adequately represent the class. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
Kessler Topaz Meltzer & Check prosecutes class actions in state and federal courts throughout the country involving securities fraud, breaches of fiduciary duties, and other violations of state and federal law. Kessler Topaz Meltzer & Check is a driving force behind corporate governance reform and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world. The firm represents investors, consumers, and whistleblowers (private citizens who report fraudulent practices against the government and share in the recovery of government dollars). The complaint in this action was not filed by Kessler Topaz Meltzer & Check. For more information about Kessler Topaz Meltzer & Check, please visit www.ktmc.com.