Robbins LLP Reminds Investors of Class Action Lawsuit Against Driven Brands

Law firm alleges material errors in Driven Brands' financial reporting over 2-year period

Published on Mar. 11, 2026

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Robbins LLP has filed a class action lawsuit on behalf of investors who purchased Driven Brands Holdings Inc. (NASDAQ: DRVN) common stock between May 9, 2023 and February 24, 2026. The complaint alleges that Driven Brands, the largest automotive services company in North America, made material errors in its previously issued consolidated financial statements for fiscal years 2023 and 2024, which the company has now acknowledged and will need to restate.

Why it matters

The restatement of two years' worth of financial reporting raises significant concerns about Driven Brands' accounting practices and internal controls, which could impact investor confidence and the company's future performance. The class action lawsuit seeks to recover losses for shareholders affected by the alleged financial reporting errors.

The details

According to the complaint, Driven Brands failed to properly disclose errors relating to the recording of leases, reporting of cash balances and operating cash flows, presentation of supply and other expenses, income tax provision, revenue recognition, and other accounting issues. On February 25, 2026, the company announced it would need to restate its financial statements for fiscal years 2023 and 2024 due to these material errors. This news caused Driven Brands' stock price to plummet nearly 40%.

  • On February 23, 2026, Driven Brands' Audit Committee concluded there were material errors in the company's previously issued consolidated financial statements.
  • On February 25, 2026, Driven Brands filed a Current Report on Form 8-K announcing the need to restate its financial statements for fiscal years 2023 and 2024.
  • The class action lawsuit was filed on behalf of investors who purchased Driven Brands stock between May 9, 2023 and February 24, 2026.

The players

Driven Brands Holdings Inc.

The largest automotive services company in North America, operating in approximately 4,900 locations across more than 15 countries and providing maintenance, car wash, collision, and glass services.

Robbins LLP

A recognized leader in shareholder rights litigation, dedicated to helping shareholders recover losses, improve corporate governance, and hold company executives accountable.

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What’s next

Shareholders who wish to serve as lead plaintiff for the class must submit their papers to the court by May 8, 2026.

The takeaway

The restatement of Driven Brands' financial reporting raises serious questions about the company's accounting practices and internal controls, which could undermine investor confidence and have long-term implications for the business. The class action lawsuit seeks to hold the company accountable and recover losses for affected shareholders.