THQ is already in a legal struggle, as a class action lawsuit was filed against them in June by Robbins Umeda LLP. Yesterday, Levi & Korsinski, LLP released a press release stating that they have filed a lawsuit. Now today, Brodsky & Smith, LLC has announced that they are investigating the company.
The lawsuits and investigations are stemming from THQ allegedly misrepresenting how many Xbox 360 and PS3 versions of the uDraw GameTablet were actually sold versus how many the company claimed were sold. The lawsuit claims that the misrepresentation resulted shareholder to buy shares, so when the company announced that THQ had a net loss of $55.9 million dollars and the stock prices lost approximately 30%. The law firms also alleges that THQ has commited violations of the Securities Exchange Act of 1934. The lawsuit includes shareholders that purchased shares of THQ between May 3, 2011 and February 3, 2012.