Core Viewpoint - ModivCare, Inc. is facing a class action lawsuit alleging violations of the Securities Exchange Act of 1934, with claims related to misleading statements and insufficient liquidity impacting the company's financial performance [1][2]. Group 1: Allegations and Financial Impact - The lawsuit claims that ModivCare made false or misleading statements regarding contract renegotiations and pricing accommodations, which negatively affected the company's adjusted EBITDA [2]. - It is alleged that ModivCare had insufficient liquidity during the class period, further exacerbating its financial challenges [2]. Group 2: Legal Process and Participation - The Private Securities Litigation Reform Act of 1995 allows any investor who purchased ModivCare securities during the class period to seek appointment as lead plaintiff in the lawsuit [3]. - The lead plaintiff is expected to have the greatest financial interest in the case and will represent the interests of all class members [3]. Group 3: Law Firm Background - Robbins Geller Rudman & Dowd LLP is a prominent law firm specializing in securities fraud cases, having secured over $6.6 billion for investors in related class action cases [4]. - The firm has been recognized for its significant recoveries, including the largest securities class action recovery in history amounting to $7.2 billion in the Enron case [4].

Core Viewpoint - Robbins LLP has initiated a class action lawsuit on behalf of investors who acquired ModivCare, Inc. (NASDAQ: MODV) securities between November 3, 2022, and September 15, 2024, alleging that the company misled investors regarding its business prospects [1][2]. Allegations - The complaint states that ModivCare failed to disclose that certain contracts in its Non-Emergency Medical Transportation (NEMT) segment led to a deterioration in the company's free cash flow [2]. - As a result of these undisclosed issues, the company experienced negative impacts on adjusted EBITDA due to contract renegotiations and pricing accommodations, and it faced liquidity challenges [2][3]. - The positive statements made by the company regarding its business operations and prospects were deemed materially misleading and lacked a reasonable basis [2][3]. Legal Proceedings - Shareholders interested in serving as lead plaintiffs in the class action must file necessary documents with the court by March 31, 2025 [4]. - Participation in the case is not required to be eligible for recovery, allowing shareholders to remain absent class members if they choose [4]. Company Background - Robbins LLP is recognized for its leadership in shareholder rights litigation, focusing on helping shareholders recover losses and improve corporate governance since 2002 [5].