Driven Brands (US:DRVN) Globenewswire·2026-03-10 18:58Core Viewpoint - A securities class action lawsuit has been filed against Driven Brands Holdings Inc. due to material accounting errors in its financial statements for the past two fiscal years, leading to a significant decline in stock price [3][4][9]. Company Overview - Driven Brands Holdings Inc. is facing allegations of fundamental failures in corporate oversight and financial transparency, as stated by the law firm Hagens Berman [5][6]. Legal Proceedings - The lawsuit, titled Clark v. Driven Brands Holdings Inc., was filed in the U.S. District Court for the Southern District of New York, seeking to recover losses for investors who purchased Driven Brands common stock from May 9, 2023, to February 24, 2026 [4][6]. Financial Disclosures - On February 25, 2026, Driven Brands disclosed material errors in its financial statements for fiscal years 2023 and 2024, as well as all quarterly reports through September 2025 [9]. - The company admitted to "material weaknesses" in internal controls over financial reporting, including issues with lease accounting, unreconciled cash accounts, and misclassification of expenses [9]. Market Impact - Following the disclosure of these accounting errors, Driven Brands' stock price plummeted from $16.61 on February 24, 2026, to $9.99 on February 25, 2026, marking a nearly 40% decline in a single trading session [9]. Important Dates - Investors have until May 8, 2026, to apply for Lead Plaintiff status in the ongoing lawsuit [7].