DETROIT - Three law firms representing shareholders filed class-action lawsuits last week in federal court in Ohio alleging that dealership technology vendor Reynolds and Reynolds Co. misrepresented or disregarded facts that hurt the value of the company's stock.
In one suit, Schiffrin & Barroway LLP of Bala Cynwyd, Pa., alleges Reynolds "knew or recklessly disregarded the fact that market demand was lackluster" for the its latest dealer management system, the Reynolds Generations Series Suite.
The suits seek unnamed damages for Reynolds shareholders.
Reynolds issued a short statement after the first suit was filed, saying it was without merit. All three suits were filed in United States District Court for the Southern District of Ohio.
Reynolds shares closed at $21.73 on Friday, July 23. The stock reached its 52-week high of $30.76 on June 24.