Jernigan Capital $3.9 Million Securities Settlement

If you held Jernigan Capital, Inc. common stock between August 3, 2020, and November 6, 2020, you may be eligible to claim a portion of a class action settlement.

Jernigan Capital, Inc. has agreed to pay $3,925,000 to settle a class action lawsuit for alleged breaches of fiduciary duty related to its acquisition by NexPoint Advisors, L.P.

Who can file a claim?

People or entities that held Jernigan common stock at any time between August 3, 2020, and November 6, 2020.

How much can class members get?

If all eligible shares participate in the settlement, the average distribution is approximately $0.17 per share before deductions for fees and expenses, which are estimated to be about $0.06 per share.

This settlement is subject to a "Pro Rata Calculation": If fewer shares participate, the distribution per share will increase. For example, if only half of the eligible shares submit claims, the distribution per share would double.

How to claim an award

Claimants need to provide proof of their holdings in Jernigan common stock as of the Closing Date on November 6, 2020. This includes broker confirmations or equivalent documentation.

To file an claim, you must submit a Proof of Claim form by mail or online. You can file a claim online or mail your completed form to the Claims Administrator at:

Jernigan Capital, Inc. Shareholder Litigation

c/o RG2 Claims Administration

P.O. Box 59479

Philadelphia, PA 19102-9479

Ensure your claim is postmarked or submitted online no later than January 11, 2025.

Settlement fund breakdown

The settlement fund of $3,925,000 will cover:

• Payments to eligible class members.
• Attorneys' fees not exceeding one-third of the fund, plus expenses up to $100,000.
• Costs of notice and administration of the settlement.

Important dates

• Fairness Hearing: December 13, 2024
• Deadline to File a Claim: January 11, 2025

When is the Jernigan Capital Settlement payout date?

The Court will hold a Fairness Hearing on December 13, 2024, to decide whether to approve the settlement. If approved, payments will be distributed to eligible class members who submitted valid claims.

Why is there a class action settlement?

The lawsuit alleged that Jernigan Capital, Inc. and its directors breached their fiduciary duties in connection with the acquisition by NexPoint Advisors, L.P. The settlement was reached to avoid the costs and risks of further litigation.