The information contained on this website is only a summary of the information presented in more detail in the Notice of Pendency and Proposed Settlement of Stockholder Class Action, Settlement Hearing, and Right to Appear (the "Notice"). Because this website is just a summary, you should review the Notice for additional details.
Summary of the Action and Settlement
This website relates to a stockholder class action (the "Action”) pending in the Court of Chancery of the State of Delaware (the “Court”). (i) Plaintiff Andrew Saunders (“Plaintiff”), on behalf of himself and all other members of the Settlement Class (as defined in paragraph 26 of the Notice); and (ii) defendants Lee Einbinder, Howard Kurz, Robert Matza, Diane B. Glossman, and Aris Kekedjian (collectively, “Defendants” and together with Plaintiff, the “Parties”) have reached a proposed settlement of the Action on the terms set forth in the Stipulation ( “Settlement”). Pursuant to the Settlement, Defendants have agreed to pay, or cause to be paid, $9,500,000 in total settlement value, with $6,725,000 paid in cash and the remaining $2,775,000 paid in either shares of freely-tradeable Katapult Holdings, Inc. (“Katapult”) common stock or additional cash (“Delaware Settlement Consideration”). If approved by the Court, the Settlement will resolve all claims in the Action.
If you are a member of the Settlement Class, you are subject to the Settlement. The Settlement Class preliminarily certified by the Court solely for purposes of the Settlement consists of:
All record and beneficial holders of Class A common stock of FinServ as of the closing of the de-SPAC Transaction on June 9, 2021.
Excluded from the Settlement Class are (i) Katapult, Orlando Zayas, Karissa Cupito, Derek Medlin, Lee Einbinder, Howard Kurz, Robert Matza, Diane B. Glossman, Aris Kekedjian, and FinServ Holdings; (ii) any person who was an officer or director of FinServ Holdings or FinServ between November 5, 2019 and June 9, 2021; (iii) any person who was an officer or director of Katapult between May 18, 2021 and August 10, 2021; (iv) the immediate family members, meaning the parents, spouse, siblings, or children, of any of the foregoing persons; (v) any trusts, estates, entities, or accounts that held FinServ or Katapult shares for the benefit of the foregoing persons or entities; and (vi) the legal representatives, heirs, successors-in-interest, successors, transferees, and assigns of the foregoing persons or entities (each, an “Excluded Person” and, collectively, the “Excluded Persons”).
Please Note: The Settlement Class is a non-“opt-out” class pursuant to Delaware Court of Chancery Rules 23(a), 23(b)(1), and 23(b)(2). Accordingly, Class Members do not have the right to exclude themselves from the Settlement Class.
Please read the Notice to fully understand your rights and options. Copies of the Notice can be found on the Important Documents page at the top of this website.
Payments to Eligible Class Members will be made only if the Court approves the Settlement and a Plan of Allocation, and only after any appeals are resolved. Please be patient, as this process will take some time to complete.
| CLASS MEMBERS’ LEGAL RIGHTS IN THE SETTLEMENT: |
| RECEIVE A PAYMENT FROM THE SETTLEMENT. CLASS MEMBERS DO NOT NEED TO SUBMIT A CLAIM FORM. |
If you are a member of the Settlement Class, you may be eligible to receive a pro rata distribution from the Settlement proceeds. Eligible Class Members do not need to submit a claim form in order to receive a distribution from the Settlement, if approved by the Court. If you are eligible for a distribution from the Settlement, it will be paid to you directly. See paragraphs 32-40 of the Notice for further discussion. |
| OBJECT TO THE SETTLEMENT BY SUBMITTING A WRITTEN OBJECTION SO THAT IT IS RECEIVED NO LATER THAN SEPTEMBER 25, 2024. |
If you are a member of the Settlement Class and would like to object to the proposed Settlement, the proposed Plan of Allocation, or Plaintiff’s Counsel’s application for an award of attorneys’ fees and expenses (“Fee and Expense Award”), including Plaintiff’s application for an incentive award (“Incentive Award”), you may write to the Court and explain the reasons for your objection. |
| ATTEND A HEARING ON OCTOBER 10, 2024, AT 3:15 P.M., AND FILE A NOTICE OF INTENTION TO APPEAR SO THAT IT IS RECEIVED NO LATER THAN SEPTEMBER 25, 2024. |
Filing a written objection and notice of intention to appear that is received by September 25, 2024, allows you to speak in Court, at the discretion of the Court, about your objection. In the Court’s discretion, the October 10, 2024 hearing may be conducted by telephone or videoconference (see paragraphs 48-49 of the Notice). If you submit a written objection, you may (but you do not have to) attend the hearing and, at the discretion of the Court, speak to the Court about your objection. |
How do I obtain more information?
Detailed information about the Settlement is contained in the Notice, a copy of which can be found on the Important Documents page of this website. Additional information can also be obtained by contacting the Settlement Administrator by calling toll-free 844-552-0061, emailing info@FinServAcquisitionCorpSPACLitigation.com, or mailing a letter to:
FinServ Acquisition Corp. SPAC Litigation
c/o JND Legal Administration
PO Box 91493
Seattle, WA 98111
Inquiries should NOT be directed to the Court or the Clerk of the Court.
© JND Legal Administration. All rights reserved.
