March 2, 2015
Bernstein Liebhard LLP today announced that it is investigating possible claims against Lumber Liquidators Holdings, Inc. (“Lumber Liquidators” or the “Company”) (NYSE: LL). The investigation concerns whether the Board of Directors of Lumber Liquidators breached their fiduciary duties to the Company.
Lumber Liquidators is a retailer of hard-wood flooring. On Sunday, March 1, 2015, 60 Minutes aired a news program presenting evidence that Lumber Liquidators had sold laminate flooring made in China that contained formaldehyde levels that exceeded California health standards. The investigation, which used undercover reporters and hidden cameras, found that flooring that was billed as meeting California health and safety standards did not meet such standards. Indeed, video showed managers at three Chinese factories admitting to using false labeling that made it look like the products met regulations. Lumber Liquidators shares plunged as much as 26% as a result.
60 Minutes also said it tested flooring from China that was being sold in several states outside of California, including Virginia, Florida, Texas and New York. Of the 31 products tested, only one would have been legal in California, the show found.
If you are interested in discussing your rights as a Lumber Liquidators shareholder and/or have information relating to the matter, please contact Joseph R. Seidman, Jr. at (877) 779-1414 or seidman@bernlieb.com.
Bernstein Liebhard LLP has pursued hundreds of securities, consumer and shareholder rights cases and recovered over $3 billion for its clients. The National Law Journal has recognized Bernstein Liebhard for twelve consecutive years as one of the top plaintiffs’ firms in the country.
