Bragar Eagel & Squire Urges Driven Brands Investors to Contact Firm

Law firm alleges material errors in Driven Brands' financial statements from 2023-2025

Apr. 1, 2026 at 9:45pm

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Bragar Eagel & Squire, P.C., a national stockholder rights law firm, has filed a class action lawsuit against Driven Brands Holdings Inc. (NASDAQ:DRVN) on behalf of investors who purchased Driven Brands common stock between May 9, 2023, and February 24, 2026. The lawsuit alleges that Driven Brands failed to disclose material errors in its previously issued financial statements for fiscal years 2023 and 2024, as well as quarterly and year-to-date periods in 2024 and 2025.

Why it matters

The lawsuit highlights growing concerns about transparency and accountability in the auto parts and services industry, where consolidation has led to increased scrutiny of financial reporting practices. Investors will be watching closely to see how Driven Brands responds and whether the alleged errors were isolated incidents or indicative of broader issues.

The details

According to the complaint, the alleged errors impacted Driven Brands' balance sheet, cash flow, and revenue recognition, including issues with lease accounting, cash balances, expense reporting, income taxes, and revenue recognition in the ATI business. On February 25, 2026, Driven Brands announced that its Audit Committee had concluded the financial statements should not be relied upon and required restatement, leading to a 30% drop in the company's stock price.

  • The class period covers May 9, 2023, through February 24, 2026.
  • Investors have until May 8, 2026, to apply to the Court to be appointed as lead plaintiff in the lawsuit.

The players

Bragar Eagel & Squire, P.C.

A nationally recognized stockholder rights law firm with offices in New York, South Carolina, and California. The firm represents individual and institutional investors in securities, derivative, and commercial litigation.

Driven Brands Holdings Inc.

A leading automotive services company that operates a portfolio of automotive aftermarket brands, including MAACO, Meineke Car Care Centers, and Carstar.

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What they’re saying

“If you purchased or acquired Driven Brands common stock between May 9, 2023, and February 24, 2026 and would like to discuss your legal rights, call Bragar Eagel & Squire partner Brandon Walker or Melissa Fortunato directly at (212) 355-4648.”

— Brandon Walker, Litigation Partner, Bragar Eagel & Squire

What’s next

Investors have until May 8, 2026, to apply to the Court to be appointed as lead plaintiff in the lawsuit.

The takeaway

This case highlights the importance of accurate financial reporting and transparency, especially for companies in the highly competitive automotive services industry. Investors will be closely watching to see how Driven Brands addresses the alleged issues and whether the company can regain their trust.