Trenton, NJ asked in Consumer Law, Contracts and Securities Law for New Jersey

Q: WE INVESTED $100000 in Cinsay who was bought out by Aibuy in May 2019 We were never advised of the change of ownership.

We were never given an opportunity to recover our investment.What do you recommend we do

2 Lawyer Answers
David Neuman
David Neuman
Answered
  • Securities Law Lawyer
  • Seattle, WA

A: Ultimately, if there was a material misrepresentation made in connection with the sale of the investment, then you could potentially sue for it. Generally the misrepresentation must be made at the time of sale to be actionable.

With regards to notice of the change of ownership, that depends on your voting rights as an investor. Generally, to change ownership, the owners of the company with voting rights make the determination whether to approve or deny a merger, sale of the company, or other similar events. Whether you have voting rights depends on the bylaws of the corporation and the class of shares that you own.

An attorney would need more information to make a determination on what options you have. I suggest that you contact an attorney who is familiar with securities litigation. You can use the search function on this website, or you can visit www.piaba.org, and use the "Find an attorney" function on the homepage.

Good luck!

Leonard R. Boyer
Leonard R. Boyer
Answered
  • Brooklyn, NY
  • Licensed in New Jersey

A: You obviously need to retain an experienced securities law attorney, since this is a very specialized legal field. Good luck.

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