Mohawk ESPP Plan Class Action Settlement

Superior Court of the State of Delaware
C.A. No. N20-C-01-259-KMM

Welcome to the Website for the Mohawk ESPP Plan Class Action Settlement

UPDATE: March 18, 2024 Press Release

If you purchased or otherwise acquired the common stock of Mohawk Industries, Inc. (“Mohawk”) in the Mohawk Industries Retirement Plan 1 and/or the Mohawk Industries Retirement Plan 2 (collectively “the Plan”) between April 27, 2017 and July 25, 2019, inclusive (“Class Period”), you may be a member of the Settlement Class (“Class” or “Class Member”) and eligible to receive payment from a class action settlement (the “Settlement”).

The Notice of Class Action Determination, Proposed Settlement, and Hearing Thereon (“Notice”) incorporates by reference the definitions in the Stipulation of Settlement (the “Stipulation”) dated as of March 7, 2023, and all capitalized terms used, but not defined herein, shall have the same meanings as in the Stipulation, which, with its supporting exhibits is available on the Important Documents page of this website.

  • On November 11, 2023, The Honorable Kathleen M. Miller of the Superior Court of the State of Delaware (the “Court”) preliminarily approved the Settlement and ordered that this Notice be sent to Class Members.

  • If approved by the Court, the settlement will provide $1,000,000.00, plus any interest earned (the “Settlement Fund”), less expenses, to investors who purchased or otherwise acquired Mohawk Industries, Inc. common stock in the Plan during the Class Period.

  • Attorneys for the Plaintiff in the above captioned action (“Plaintiff’s Counsel”) intend to ask the Court for an award of attorneys’ fees of not more than one-third of the Settlement Fund, for all law firms that were involved in the action on behalf of Plaintiff and the Class and reimbursement of case-related expenses of not more than $8,000.00 (“Fee and Expenses”), together with a case contribution award for the Plaintiff of not more than $10,000.00. Plaintiff’s Counsel is seeking reimbursement of Fee and Expenses because the attorneys provided, on a contingent bases, legal services and advanced expenses for the prosecution of the above-captioned action, and believe their efforts made it possible for Class Members to achieve the Settlement. After Plaintiff’s Counsel requests are filed with the Court, they will be posted to this website.

  • The law firms that were involved on behalf of the Plaintiff were “Plaintiff’s Counsel”, which means the law firm of Gainey McKenna & Egleston of New York, New York, and Bielli & Klauder, LLC of Wilmington, Delaware.

  • The claims asserted against Mohawk and Messrs. Jeffrey S. Lorberbaum, Frank H. Boykin, and William Christopher Wellborn (collectively, “Defendants”) allege claims arising under Section 11 and 12 of the Securities Act of 1933 (the “Securities Act”), and the Settlement resolves those claims.

  • If you are a member of the Class and are entitled to receive a share of the distribution of the Net Settlement Fund, you will either receive your share by direct deposit into your existing Plan account, or, if you no longer have an existing Plan account, a check will be sent to you at the last address on file with the Plan. If you have changed your address, contact the Claims Administrator.

  • This is a non-opt-out class action Settlement. If you are a Class Member, your legal rights will be affected. Therefore, you should read this Notice carefully.

YOUR LEGAL RIGHTS AND OPTIONS IN THIS SETTLEMENT

TAKE NO ACTION

You will receive a payment if you are entitled to such payment, either by direct deposit into your existing Plan account, or by a check mailed to the last address on file with the Plan, or to a new address that you submit to the Claims Administrator.

OBJECT TO SETTLEMENT OR ATTORNEYS’ FEES OR CASE CONTRIBUTION AWARD NO LATER THAN APRIL 18, 2024

Write to the Court about why you do not like the settlement.

GO TO A SETTLEMENT FAIRNESS HEARING ON May 29, 2024 AT 2:00 P.M. EASTERN

Speak in Court about the fairness of the settlement.

Upcoming Important Dates

Objection Deadline

04/18/2024

Final Approval Hearing (2:00pm ET)

05/29/2024