US Supreme Court to review Robinhood IPO lawsuit
In short
Robinhood Markets has asked the US Supreme Court to hear its appeal in a lawsuit from investors over its July 2021 IPO. Investors say Robinhood did not tell them how lower trading volumes could affect their investments.
The 9th Circuit brought the case back after first dismissing it, and the Supreme Court is expected to consider it by late June.
What the reporting says
Robinhood Markets has appealed to the US Supreme Court over a class action lawsuit from investors tied to its July 2021 IPO. The suit says the company misled investors by not revealing how lower trading volumes would affect them. After the 9th Circuit revived the case, Supreme Court deliberations are expected by late June.
Why it matters
Robinhood Markets has filed an appeal with the US Supreme Court in a class action lawsuit linked to its July 2021 IPO. Investors allege the company failed to disclose how reduced trading volumes would affect them. The 9th Circuit Court of Appeals reopened the case after an earlier dismissal, and the Supreme Court is expected to consider it by late June.