Mark Kusnier, et al. v. Affirm Holdings Case

The case has been dismissed, typically without any further action.

N.D. California

Court

On December 16, 2021, the Consumer Financial Protection Bureau announced that it had launched an inquiry into Affirm’s BNPL payment service, along with four other companies offering BNPL.

The CFPB indicated that it was concerned about how BNPL leads to “accumulating debt, regulatory arbitrage, and data harvesting,” and is seeking data on the risks and benefits of the products. In a statement addressing BNPL services, the CFPB Director stated, “the consumer gets the product immediately but gets the debt immediately too.”

On this news, AFRM stock price dropped over 10% on December 16, 2021, seriously damaging investors.

Taking appearing facts into account, Investors have reasons to suspect that the Company, its Leaders, and its Service Providers did not properly disclose information about the Company’s business, operations, and compliance policies.

Case Status

Dismissed

Alleged Offence

Mismanagement,

Misleading Statements,

Financial Misrepresentation,

Failure to Disclose,

Malpractice,

Negligence,

Breach of Fiduciary duty,

Omissions

Suspected Party

Directors,

Management,

Service Provider

Security Type

Stocks

Trade Direction

Long

Shock Event Date

12/15/2021

Filing date

12/08/2022

Judge

Hon. William H. Orrick