Advanta Securities Litigation Settlement Website
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Welcome to the Advanta Securities Litigation Settlement Website

This website has been established to provide general information regarding the proposed Settlement of the Advanta Securities Litigation, Civil Action No. 2:09-cv-04730-CMR, pending in the United States District Court for the Eastern District of Pennsylvania. The capitalized terms used on this website and not defined herein shall have the same meanings ascribed to them in the Stipulation of Settlement dated March 13, 2014.

This Litigation alleges that Defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 by misrepresenting and omitting material facts about Advanta's business, including its customer base, customer delinquencies, credit card re-pricing practices, loan loss reserves, and earnings. Lead Plaintiff alleges that when Defendants disclosed the truth about the Company's financial results, Class Members suffered damages as a result of the decline in the price of Advanta Class A and/or Class B common stock.

Defendants deny all of Lead Plaintiff's allegations, including that they made any material misrepresentations or omissions or that the Lead Plaintiff or the Class Members were harmed by the conduct alleged in the Complaint. Defendants further deny that they did anything wrong and maintain that their conduct was at all times proper and in compliance with applicable provisions of law.

The Class includes all Persons who purchased or otherwise acquired Advanta Class A and/or Class B common stock between October 16, 2006 and January 30, 2008, inclusive.

A Settlement Fund consisting of $13,250,000 in cash has been established.   The Settlement Fund, plus interest earned from the date it is established, less costs, fees, and expenses, will be divided among all eligible Class Members who send in valid Proofs of Claim. A Proof of Claim form can be submitted by mail or online. Click on the File Claim tab above to obtain a Proof of Claim form and for directions on how to submit a Proof of Claim form by mail or online. The deadline for submitting a Proof of Claim form either by mail or online is August 18, 2014.

The Class is represented by Robbins Geller Rudman & Dowd LLP, court appointed Lead Counsel in this Litigation.

Although the information in this website is intended to assist you, it does not replace the information contained in the Notice of Proposed Settlement of Class Action and Stipulation of Settlement, both of which can be found and downloaded by clicking on the Case Documents tab above. We recommend that you read the Notice and other relevant case documents carefully.

Deadlines:

Submit Claim: August 18, 2014
Request Exclusion: July 3, 2014
File Objection: July 3, 2014
Court Hearing on Fairness of Settlement: August 4, 2014 at 10:30 am

 

Your Legal Rights and Options in this Settlement

SUBMIT A CLAIM FORM If you are a Class Member and do not exclude yourself from the Class, the only way to get a payment is to submit a Proof of Claim form. You may submit a Proof of Claim form and still object to any aspect of the Settlement, the request for an award of attorneys' fees and expenses, and/or the Plan of Allocation. If you submit a Proof of Claim form, you give up your right to participate in another lawsuit against the Defendants for the legal claims in this case. See Answer to Question 12 in the Notice for a more detailed description of what you are giving up if you submit a Proof of Claim form.
EXCLUDE YOURSELF Get no payment. This is the only option that allows you to participate in another lawsuit against the Defendants for the legal claims in this case.
OBJECT If you are a Class Member and do not exclude yourself from the Class, you may write to the Court if you do not like the Settlement, the request for attorneys' fees and expenses, or the Plan of Allocation. If you submit an objection to the Settlement, Plan of Allocation, or the request for an award of attorneys' fees and expenses and do not submit a Proof of Claim form seeking payment from the settlement proceeds, your objection may be rejected because you would not have an interest in the Settlement.
GO TO A HEARING You may ask to speak in Court about the fairness of the Settlement, the request for attorneys' fees and expenses, or the Plan of Allocation.
DO NOTHING If you do nothing, you will not receive any payment, will not be allowed to object to the Settlement and will give up your right to participate in another lawsuit against the Defendants for the legal claims in this case. See Answer to Question 12 in the Notice for a more detailed description of what you are giving up if you do nothing.