Published
July 14, 2026
If you bought LuxUrban Hotels (LUXH) stock or preferred shares between May 2023 and August 2024, you may be able to claim a share of a $3 million settlement fund by August 10, 2026.
What Is This Settlement About?
A $3,000,000 settlement has been reached to resolve a securities class action against LuxUrban Hotels Inc. (LUXH) and two of its former executives, Brian Ferdinand and Shanoop Kothari. The case, captioned Pack v. LuxUrban Hotels Inc., et al., No. 1:24-cv-01030, is pending in the U.S. District Court for the Southern District of New York before Judge Paul A. Engelmayer.The complaint alleged that, during the class period, LuxUrban and the individual defendants made materially false or misleading statements about the company's portfolio of leased hotel properties — including presenting hotels as secured when definitive lease agreements had not been fully executed and delivered — which allegedly inflated the price of LuxUrban's securities. The Court largely denied the defendants' motion to dismiss in 2025, and the parties later agreed to settle. The settlement resolves the claims without any admission of wrongdoing; the allegations remain unproven.
Status
Claims Open
Claim Deadline
August 10, 2026
Exclude or object by August 18, 2026 · final approval hearing September 8, 2026
Estimated Payout
Pro Rata Share of $3M Fund
Based on your Recognized Loss under the Plan of Allocation
Proof Required
Yes
Brokerage records of your LUXH stock or preferred-share transactions
Who Qualifies?
The settlement class includes investors who purchased or otherwise acquired LuxUrban Hotels Inc. (LUXH) common stock or the company's 13% Series A Cumulative Redeemable Preferred Stock between May 9, 2023 and August 20, 2024, inclusive, and who were damaged. Certain excluded persons — such as the defendants, their officers and directors, and their affiliates — are not part of the class. You do not need to have sued anyone or hired a lawyer; absent class members simply file a claim with the court-approved administrator.How Much Can You Get?
The settlement establishes a $3,000,000 all-cash fund. After the Court approves attorneys' fees, litigation costs, and administration expenses, the remaining net fund is distributed pro rata among investors who file valid claims, based on each claimant's Recognized Loss as defined in the court-approved Plan of Allocation. Because the fund is fixed, there is no set per-share figure — your recovery depends on when you bought and sold LuxUrban securities, how many shares you held, and the total amount of valid claims filed. Many securities settlements also set a minimum distribution below which no check is issued.How to File a Claim
To claim, submit a Proof of Claim to the settlement administrator, Strategic Claims Services, through the official settlement website by the August 10, 2026 deadline. You will need brokerage records — trade confirmations or account statements — showing your purchases and sales of LuxUrban common or preferred stock during the class period. You can file online or download and mail a paper Proof of Claim and Release form from the official settlement website. If you need a replacement claim form or have a question about the process, use the contact form on the official settlement website.Key Deadlines
- August 10, 2026 — deadline to submit a Proof of Claim.
- August 18, 2026 — deadline to exclude yourself (opt out) or to object to the settlement.
- September 8, 2026 — the Court's scheduled final approval (fairness) hearing.
Frequently Asked Questions
Who qualifies for the settlement?
Investors who bought or acquired LuxUrban Hotels (LUXH) common stock or its 13% Series A Cumulative Redeemable Preferred Stock between May 9, 2023 and August 20, 2024, inclusive, and were damaged.How much is the settlement and how is it paid?
A $3,000,000 all-cash fund. After court-approved fees, costs, and administration, the net fund is divided pro rata by each claimant's Recognized Loss under the Plan of Allocation. There is no fixed per-share amount.What is the deadline to file?
The Proof of Claim deadline is August 10, 2026. The exclusion and objection deadline is August 18, 2026, and the final approval hearing is set for September 8, 2026.What proof do I need?
Brokerage records — trade confirmations or account statements — documenting your LuxUrban purchases and sales during the class period.What did the lawsuit allege?
That LuxUrban and two former executives made materially false or misleading statements about the company's leased hotel portfolio, including presenting hotels as secured when definitive leases had not been fully executed. These were allegations; LuxUrban settled without admitting wrongdoing.Sources
- Official Settlement Website — Strategic Claims Services (LuxUrban)
- Pomerantz LLP — proposed LuxUrban settlement notice (GlobeNewswire)
- Bloomberg Law — LuxUrban settles investor hotel-lease lawsuit for $3 million
For more class actions keep scrolling below.
Settlement Amount
$3,000,000
Case Title
Pack v. LuxUrban Hotels Inc., et al.
Case Number
1:24-cv-01030
Court
U.S. District Court, Southern District of New York
Class Period
May 9, 2023 – August 20, 2024
Final Approval Hearing
September 8, 2026
Administrator
Strategic Claims Services
Official Website
Strategic Claims — LuxUrban
