Expired
Lead Plaintiff Deadline
Apr 7, 2026
Please Upload related files below
Fill in below.
Tell us the stocks you own using SnapTrade, and we will keep you informed about class action litigation related to your stocks. We monitor critical case developments that may affect the price of your shares and your possible monetary recovery. SnapTrade only shares the tickers you own and your transaction history, not your account numbers. Using SnapTrade and participating in our monitoring service is free and does not create any attorney-client relationship or obligation on your part.
Don’t miss out on possible monetary recovery - link your brokerage account with SnapTrade.
The filed complaint alleges that Paysafe Limited made materially false and/or misleading statements and/or failed to disclose that: (1) Paysafe’s ecommerce business had significant exposure to a single high risk client; (2) as a result, the Company’s credit loss reserves and/or write-offs were understated; (3) Paysafe had an undisclosed issue with higher risk merchant category codes, making its client services difficult to bank; (4) foregoing issues were likely to have a material negative impact on the Company’s revenue growth and overall revenue mix; (5) as a result, Paysafe was unlikely to meet its own previously issued financial guidance for fiscal year 2025; and (6) that, as a result of the foregoing, defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
In order to be eligible to join the PSFE class action lawsuit, you must have incurred a loss on shares of Paysafe Limited purchased during the class period listed above.
If you suffered a loss in Paysafe Limited during the relevant time frame or pursuant to the relevant offering(s), you have until April 7, 2026 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
A securities fraud class action has been filed against Paysafe Limited (NYSE: PSFE) in the United States District Court for the Southern District of New York covering trades between March 4, 2025 and November 12, 2025. Investors allege the company misrepresented its exposure to a high-risk client, the adequacy of credit loss reserves and write-offs, and the stability of its banking relationships while promoting 2025 guidance, in violation of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5. On November 13, 2025, Paysafe reported third quarter results that missed expectations, slashed full-year guidance, and revealed a client shutdown tied to higher-risk Merchant Category Codes in payment processing that were difficult to bank. Management's comments and the filings contradicted earlier assurances about growth and banking strength. The stock fell sharply, leaving investors with significant losses, with NYSE: PSFE dropping 27.6 percent that day.
“Most PSFE shareholders never file or join the class action, which means they miss out on potential recovery funds,” said Attorney Joseph Levi.
Case Name: Singh v. Paysafe Limited et al.
Case No.: 1:26-cv-01048
Jurisdiction: U.S. District Court, Southern District of New York
Filed on: February 6, 2026
Paysafe provides end-to-end payment solutions (end-to-end payment processing) in the United States and internationally, and is incorporated in Bermuda, including services that allow consumers to purchase online without a bank account or credit card and with alternative methods such as cryptocurrencies, serving the payment solutions/fintech industry and e-commerce transactions. The company operates through two segments: Merchant Solutions, which processes card transactions for merchants, including e-commerce merchants and other high-volume payment processing clients, and Digital Wallets, which includes alternative payments and prepaid vouchers in its digital wallet segment.
March 4, 2025 - November 12, 2025, inclusive.
All persons and entities that purchased or otherwise acquired Paysafe securities (NYSE: PSFE) between March 4, 2025 and November 12, 2025, inclusive, and who were damaged thereby (the "Class"), including purchasers of PSFE shares. Excluded from the Class are Defendants, the officers and directors of the Company, at all relevant times, members of their immediate families and their legal representatives, heirs, successors, or assigns, and any entity in which Defendants have or had a controlling interest.
The complaint names Paysafe Limited, Chief Executive Officer Bruce Lowthers, and Chief Financial Officer John Crawford. Investors allege these defendants made materially false and misleading statements and failed to disclose material adverse facts about the company's business, operations, and prospects during the Class Period, including its financial guidance for fiscal year 2025.
On March 4, 2025, Paysafe issued a press release presenting its 2025 outlook. The company stated reported revenue growth would be 0% to 2%, with organic revenue growth of 6.5% to 8.0%, an Adjusted EBITDA margin of 27.1% to 27.6%, and Adjusted EBITDA growth in the mid-teens. Paysafe also noted that this outlook incorporated the impact of a disposed business and modest headwinds from currency and interest revenue. That same day, in its Form 20-F filed with the U.S. Securities and Exchange Commission, Paysafe highlighted a "strong global banking infrastructure," citing a network of nearly 100 commercial banks across 34 countries and relationships with top-tier institutions including J.P. Morgan Chase, Bank of America, BBVA, BMO, and PNC.
According to investors, the reality was different. Paysafe's ecommerce business allegedly had significant exposure to a high-risk client, reflecting a single-client concentration risk; the company's credit loss reserves and/or write-offs were understated, including reserves for expected chargebacks; and Paysafe faced undisclosed issues with higher-risk Merchant Category Codes, a merchant category code compliance issue that strained banking relationships. These conditions were likely to materially hurt revenue growth and the revenue mix, rendering Paysafe unlikely to meet its own 2025 guidance and leaving the company's positive statements without a reasonable basis, in violation of Sections 10(b) and 20(a) of the Securities Exchange Act and Rule 10b-5.
The story turned on November 13, 2025, when Paysafe issued a press release and filed a Form 6-K with the U.S. Securities and Exchange Commission reporting third quarter results for the quarter ended September 30, 2025. The company posted revenue of $433.8 million, a $5.8 million variance, below analyst estimates, and a net loss of $87.7 million compared to a $12.98 million net loss in the prior-year period.
Paysafe dramatically cut its full-year 2025 guidance, slashing expected revenue to $17 million and adjusted EPS to $0.50 at the midpoint (a reduction of $17 million at the midpoint). On the earnings call the same day, CEO Bruce Lowthers acknowledged, "We had a last-minute client that had to shut down that caused several million-dollar write-down in Q3," and described operating "in kind of a lower-tier market" with "higher risk MCC codes" that are "a little difficult to bank." He explained that some banks were not open to the additional risk, creating challenges with those MCC codes. These admissions came after Paysafe had touted a "strong global banking infrastructure" and issued its 2025 guidance and assured investors of stable banking relationships.
The market reacted immediately. On November 13, 2025, before trading began, Paysafe issued its release; by the close, the PSFE stock price fell $2.80, or 27.6%, to $7.36 per share on unusually heavy trading volume on the NYSE. The decline followed the missed results, the guidance cut, and management's disclosures about a client shutdown and high-risk MCC banking challenges, a single-day drop reflecting the corrective disclosure.
The Court will issue its order for lead plaintiff and counsel in the weeks after submissions are due.
The Court will then consider motion for class certification.
The Court will later consider a Motion to Dismiss.
Disclaimer: This shareholder alert is for informational purposes only and does not constitute legal advice. Consult a qualified attorney for personalized guidance. No specific outcomes are guaranteed.
TOP