Cornerstone Research Reports on Accounting Class Action Cases
Cornerstone Research published another report providing insight into a corner of the markets. The new report is titled Accounting Class Action Filings and Settlements, 2023 Review and Analysis. As the title states, the Report provides an overview of the case activity in the accounting class action market.
In 2023 the number of filings increased compared to the last two years. Last year 56 new accounting class action cases were filed. The prior year 51 actions were filed while in 2021 the number of accounting class actions initiated was 46. The largest number accounting class actions filed in one year, according to the Report which had statistics tracing back to 2014, was 70 in 2020.
Most of the accounting class actions filed in 2023 involved restatements and allegations centered on the internal controls of the company, Cornerstone concluded. In 2023 38% of the cases filed involved a restatement. That represents an increase over 2022 when 33% of the new accounting class actions filed involved a restatement. And, in 2021 only 11% of the cases filed included a restatement.
Interestingly, in 2023 38% of the new cases filed had no claims centered on internal controls. That represents a decline from the prior year when 51% of the new actions filed had no allegation regarding internal controls, although in 2021 Cornerstone determined that 61% of the complaints no allegation regarding internal controls.
Finally, the number of settled accounting cases decreased in 2023. Indeed, the number of settled actions last year was below the average for the prior nine years.
Cornerstone Research Reports on Accounting Class Action Cases
Cornerstone Research published another report providing insight into a corner of the markets. The new report is titled Accounting Class Action Filings and Settlements, 2023 Review and Analysis. As the title states, the Report provides an overview of the case activity in the accounting class action market.
In 2023 the number of filings increased compared to the last two years. Last year 56 new accounting class action cases were filed. The prior year 51 actions were filed while in 2021 the number of accounting class actions initiated was 46. The largest number accounting class actions filed in one year, according to the Report which had statistics tracing back to 2014, was 70 in 2020.
Most of the accounting class actions filed in 2023 involved restatements and allegations centered on the internal controls of the company, Cornerstone concluded. In 2023 38% of the cases filed involved a restatement. That represents an increase over 2022 when 33% of the new accounting class actions filed involved a restatement. And, in 2021 only 11% of the cases filed included a restatement.
Interestingly, in 2023 38% of the new cases filed had no claims centered on internal controls. That represents a decline from the prior year when 51% of the new actions filed had no allegation regarding internal controls, although in 2021 Cornerstone determined that 61% of the complaints no allegation regarding internal controls.
Finally, the number of settled accounting cases decreased in 2023. Indeed, the number of settled actions last year was below the average for the prior nine years.