Tactile (TCMD) Alert: Shareholder Class Action Survives in Part Motion to Dismiss; Should Management be Held Accountable for Shareholder Losses? Contact Johnson Fistel
SAN DIEGO, April 5, 2022, /GlobeNewswire/
Johnson Fistel, LLP is investigating potential claims on behalf of Tactile Systems Technology, Inc. (“Tactile” or “the Company”) (NASDAQ: TCMD) against certain of its officers and directors.
In 2020 a class action complaint was filed against Tactile. The complaint, alleges that the defendants violated the securities laws by misrepresenting and concealing that: (1) while Tactile publicly touted a $4 plus billion or $5 plus billion market opportunity, in truth, the total addressable market for Tactile’s medical devices was materially smaller; (2) to induce sales growth and share gains, Tactile and/or its employees were engaged in illicit and illegal sales and marketing activities in violation of applicable federal and state rules and public payer regulations; (3) the foregoing illicit and illegal sales and marketing activities increased the risk of a Medicare audit of Tactile’s claims and criminal and civil liability; (4) Tactile’s revenues were in part the product of unlawful conduct and thus unsustainable; and that as a result of the foregoing, (5) defendants’ public statements, including its year-over-year revenue growth and the purported growth drivers, were materially false and misleading at all relevant times.
Judge Nancy E. Brasel granted in part and denied in part the defendants’ motion to dismiss a shareholder class action lawsuit pending in the United States District Court for the District of Minnesota against Tactile and certain of its officers.
If you are a current, long-term shareholder of Tactile holding shares before May 7, 2018, you may have standing to hold Tactile harmless from the alleged harm caused by the Company’s officers and directors by making them personally responsible. You may also be able to assist in reforming the Company’s corporate governance to prevent future wrongdoing.
If you are interested in learning more about the investigation, please contact lead analyst Jim Baker (jimb@johnsonfistel.com) at 619-814-4471. If emailing, please include a phone number.
Additionally, if you have continuously owned Tactile shares since May 7, 2018, you can click or copy and paste the link below in a browser to join this action: https://www.cognitoforms.com/JohnsonFistel/TactileSystemsTechnologyInc
About Johnson Fistel, LLP:
Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. Johnson Fistel seeks to recover losses incurred due to violations of federal securities laws. For more information about the firm and its attorneys, please visit http://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.
Contact:
Johnson Fistel, LLP
Jim Baker, 619-814-4471
jimb@johnsonfistel.com