Driven Brands Holdings Inc. Faces Securities Fraud Class Action Lawsuit

Investors have until May 8, 2026 to file for lead plaintiff status in the case against the auto repair company.

Apr. 1, 2026 at 12:44am

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A securities fraud class action lawsuit has been filed against Driven Brands Holdings Inc. (NASDAQ: DRVN) on behalf of investors who purchased or acquired the company's common stock between May 9, 2023 and February 24, 2026. The lawsuit alleges that Driven Brands made material misstatements and/or omissions concerning the company's accounting and internal controls over financial reporting.

Why it matters

The lawsuit against Driven Brands highlights the importance of accurate financial reporting and strong internal controls for publicly traded companies. Investors rely on this information to make informed decisions, and any material misstatements can lead to significant losses.

The details

The complaint alleges that Driven Brands misrepresented and/or failed to disclose errors relating to the recording of leases, reporting of cash balances and operating cash flows, presentation of supply and other expenses, and other accounting issues. On February 25, 2026, Driven Brands disclosed it would restate its financial statements for fiscal years 2023 and 2024, as well as quarterly and year-to-date financials for 2025, due to these material accounting errors. The company also revealed material weaknesses in its internal controls over financial reporting and delayed the filing of its 2025 Form 10-K.

  • Driven Brands common stock was purchased or acquired between May 9, 2023 and February 24, 2026.
  • Investors have until May 8, 2026 to file for lead plaintiff status in the class action lawsuit.

The players

Driven Brands Holdings Inc.

A publicly traded auto repair company that operates various automotive service and repair brands.

Kessler Topaz Meltzer & Check, LLP

A nationally recognized securities litigation law firm representing the plaintiffs in the class action lawsuit against Driven Brands.

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What they’re saying

“If you purchased or acquired Driven Brands common stock and have lost money on your investment, you are encouraged to contact KTMC attorney Jonathan Naji, Esq. at:”

— Jonathan Naji, Attorney, Kessler Topaz Meltzer & Check, LLP

What’s next

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

The takeaway

This case highlights the importance of accurate financial reporting and strong internal controls for publicly traded companies. Investors rely on this information to make informed decisions, and any material misstatements can lead to significant losses.