Driven Brands Faces Investor Lawsuits Over Accounting Errors

ClaimsFiler reminds investors of lead plaintiff deadline in class action suits against Driven Brands Holdings Inc.

Apr. 9, 2026 at 3:52pm

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A high-end, photorealistic studio still-life photograph featuring a shattered chrome piggy bank on a clean, monochromatic background, symbolizing the financial losses of Driven Brands investors.A shattered piggy bank reflects the financial losses suffered by Driven Brands investors due to the company's accounting errors.New Orleans Today

Driven Brands Holdings Inc. is facing multiple class action lawsuits from investors who purchased the company's shares between May 2023 and February 2026. The lawsuits allege that Driven Brands failed to disclose material information during this period, violating federal securities laws. The company recently disclosed that it had identified at least seven different categories of 'material errors' in its consolidated financial statements for fiscal years 2023 and 2024, as well as in quarterly periods in 2025, and that those financial statements should not be relied upon and required restatement.

Why it matters

The accounting errors and subsequent restatements at Driven Brands have led to a significant drop in the company's stock price, causing major losses for investors. The class action lawsuits aim to recover those losses and hold the company and its executives accountable for the alleged failure to properly disclose material information.

The details

On February 25, 2026, Driven Brands disclosed that it had identified at least seven different categories of 'material errors' in the company's consolidated financial statements for fiscal years 2023 and 2024, as well as in quarterly periods in 2025. As a result, the company said those financial statements should not be relied upon and required restatement. Driven Brands also announced it would delay the filing of its Annual Report on Form 10-K for the fiscal year 2025.

  • Driven Brands' shares were purchased between May 3, 2023 and February 24, 2026.
  • Investors have until May 8, 2026 to file lead plaintiff applications in the class action lawsuits.

The players

Driven Brands Holdings Inc.

A publicly traded company that provides automotive services and products, including car washes, paint and collision repair, and automotive parts.

ClaimsFiler

A free shareholder information service that helps retail investors recover their share of billions of dollars from securities class action settlements.

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What’s next

Investors have until May 8, 2026 to file lead plaintiff applications in the class action lawsuits against Driven Brands Holdings Inc.

The takeaway

The accounting errors and subsequent restatements at Driven Brands have led to significant losses for investors, prompting multiple class action lawsuits. This case highlights the importance of accurate financial reporting and the need for companies to fully disclose material information to shareholders.