TAL Education ($TAL) Investor Settlement
TAL Education has reached a settlement with $TAL investors to resolve claims that it misled them by violating China’s education regulations while concealing the risks of government enforcement actions.
In March 2023, media reports revealed that TAL subsidiary Xueersi resumed tutoring in restricted subjects in violation of China’s “Double Reduction” education policy. These revelations raised fears of regulatory crackdowns, triggering a sharp drop in $TAL stock. Investors alleged that TAL misrepresented its compliance and concealed risks.
• March 14, 2023 – Seeking Alpha reported TAL may have resumed banned tutoring courses under misleading labels.
• March 14, 2023 – $TAL fell 10% following the news.
• March 29, 2023 – Investors filed a securities class action in the U.S.
• 2025 – TAL Education reached a tentative settlement to resolve the claims.
TAL Education, one of China’s largest education technology firms, was subject to China’s “Double Reduction” reforms — a sweeping regulatory initiative that prohibited for-profit tutoring in core school subjects. Despite this, a March 2023 report by Seeking Alpha revealed that TAL’s subsidiary Xueersi had allegedly restarted banned tutoring services under the guise of non-core or compliant offerings.
The article cited Chinese media sources accusing TAL of circumventing government rules, undermining Xi Jinping’s Common Prosperity policy. Investors claimed TAL failed to disclose these practices and the associated regulatory risks. When the news broke, $TAL fell sharply, wiping out shareholder value and prompting a class action.
The lawsuit alleged that TAL and its executives misled investors about compliance with Chinese regulations and exposed the company to material enforcement risks that were never disclosed.
TAL Education has reached a settlement with $TAL investors to resolve claims that it misled them by violating China’s education regulations while concealing the risks of government enforcement actions.
If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section below.
Frequently Asked Questions
All persons or entities who purchased or otherwise acquired TAL Education Group American Depository Shares (“ADSs”) from January 14, 2022 through March 14, 2023, inclusive, and held their ADSs until at least March 14, 2023, and were damaged thereby.
No, if you have purchased securities within the class period, you are eligible to participate.
You can participate in the settlement and retain (or sell) your securities.
The entire process usually takes 4 to 9 months after the claim deadline. But the exact timing depends on the court and settlement administration.
The final payout amount depends on your specific trades and the number of investors participating in the settlement.
If 100% of investors file their claims - the average payout will be $0.09 per share. Although typically only 25% of investors file claims, in this case, the average recovery will be $0.36 per share.
If you're eligible, you can file your claim directly from this case page by clicking the "Collect Payout" button.
More than 100 companies are currently paying out settlements. Connect your brokerage account to automatically check which ones you may have missed — or file manually for this case.
11th.com is an investor recovery company that helps investors track and collect securities class action settlements. We will:
1. Prepare documents for your payout.
2. Audit the claim and make sure you get the maximum possible payout.
3. File a claim with the settlement administration.
4. Correspond with the settlement administration to resolve emerging issues.
5. Deliver payout directly to your brokerage account.
There is no upfront cost, but we will deduct 20% of the recovered amount as a commission for our services.