Barrack, Rodos & Bacine Files Securities Class Action Lawsuit Against Driven Brands

Lawsuit alleges financial restatements and material weaknesses in internal controls

Mar. 13, 2026 at 1:42pm

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The law firm of Barrack, Rodos & Bacine has filed a securities class action lawsuit against Driven Brands Holdings Inc. (NASDAQ: DRVN) on behalf of investors who purchased the company's stock between May 9, 2023 and February 24, 2026. The lawsuit alleges that Driven Brands overstated its cash and revenue while understating expenses in fiscal years 2023 and 2024, leading to the need for financial restatements and the acknowledgment of material weaknesses in the company's internal controls.

Why it matters

This lawsuit highlights the importance of accurate financial reporting and strong internal controls for publicly traded companies. Investors rely on the integrity of a company's financial statements when making investment decisions, and any revelations of accounting errors or fraud can have a significant impact on stock prices and shareholder confidence.

The details

Driven Brands, a holding company for various automotive aftermarket services companies, announced on February 25, 2026, that its financial statements for fiscal years 2023 and 2024, as well as quarterly financial statements for 2025, could not be relied upon and would have to be restated. The company attributed the need for a restatement to a broad range of errors that resulted in the overstatement of cash and revenue and the understatement of expenses in fiscal years 2023 and 2024. Driven Brands also acknowledged 'material weaknesses in the Company's internal control over financial reporting.' Following this revelation, Driven Brands' stock price fell 40%, from $16.61 per share on February 24, 2026, to $9.99 per share on February 25, 2026.

  • On February 25, 2026, Driven Brands announced the need for financial restatements.
  • The class period for the lawsuit is from May 9, 2023, to February 24, 2026.

The players

Barrack, Rodos & Bacine

A law firm with more than four decades of experience prosecuting securities law class actions, including cases involving accounting fraud and insider trading, and has achieved some of the largest recoveries in U.S. history of securities litigation.

Driven Brands Holdings Inc.

A holding company for various automotive aftermarket services companies, including Take 5 Oil Change, Meineke Car Care Centers, Maaco, and Auto Glass Now.

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What they’re saying

“If you purchased Driven Brands' stock between May 9, 2023 and February 24, 2026, inclusive and sustained a loss on your investment, you are encouraged to contact us about your rights in this matter and the possibility of leading this class action lawsuit.”

— Linda Border or Mark Stein, Attorneys at Barrack, Rodos & Bacine (Barrack, Rodos & Bacine)

What’s next

Investors have until May 8, 2026, to submit a motion to be appointed as lead plaintiff in the class action lawsuit.

The takeaway

This case highlights the importance of accurate financial reporting and strong internal controls for publicly traded companies, as any revelations of accounting errors or fraud can have a significant impact on stock prices and shareholder confidence.