$8.5M Virgin Galactic Settlement — Claim by Aug 13, 2026

Virgin Galactic SPCE securities class action settlement — $8.5 million for 2019–2022 stock investors

Published: June 11, 2026

Status Claims Open

Claim Deadline August 13, 2026 final approval hearing July 9, 2026 · opt-out by June 18, 2026 · objections were due June 9, 2026

Estimated Payout ~$0.075 per damaged share (avg, Active Claims) $8,500,000 cash fund · pro rata by Recognized Loss · non–July/Aug 2021 purchases recover far less

Proof Required Yes brokerage records of your SPCE / IPOA purchases, sales & holdings

What Is the Virgin Galactic Securities Settlement About?

Did you buy or otherwise acquire Virgin Galactic Holdings, Inc. common stock (NYSE: SPCE) — or shares of its SPAC predecessor, Social Capital Hedosophia Holdings Corp. (IPOA) — between July 10, 2019 and August 4, 2022? An $8,500,000 cash settlement has been reached in the securities class action Lavin v. Virgin Galactic Holdings, Inc., and you may be eligible to file a claim for a share of the fund. The deadline to submit a Claim Form is August 13, 2026.

The case is pending in the United States District Court for the Eastern District of New York, Case No. 1:21-cv-03070-ARR-TAM. The lawsuit, first filed in May 2021, alleges that Virgin Galactic and certain of its current and former officers and directors violated the federal securities laws by making false and misleading statements and failing to disclose material information about the safety of the company's spaceflight vehicles and the success of its commercial flight program. The complaint points in particular to issues on the company's test flights, including the July 11, 2021 flight that carried founder Richard Branson to the edge of space — a flight that, as later reporting and an FAA review revealed, deviated from its Air Traffic Control clearance during ascent. After the issue became public in early September 2021, the FAA briefly grounded the company's spaceplane and the stock price fell.

Virgin Galactic and the other defendants deny any wrongdoing, and the settlement is not an admission of liability. The Court granted in part and denied in part the defendants' motion to dismiss in November 2022 — after that ruling, the only remaining actionable claims concerned the July 2021 flight and insider-trading claims — and the parties later agreed to resolve the case for $8,500,000 under a Stipulation and Agreement of Settlement dated November 3, 2025. The Settlement Amount will earn interest and be reduced by Court-approved attorneys' fees and expenses, awards to the plaintiffs, notice and administration costs, and any taxes on interest before being distributed to eligible claimants.

Who Qualifies for the Settlement Class?

The Settlement Class includes all persons and entities who purchased or otherwise acquired the publicly traded common stock of Virgin Galactic Holdings, Inc. (NYSE: SPCE) and/or Social Capital Hedosophia Holdings Corp. (IPOA) during the Class Period — from July 10, 2019 through August 4, 2022, inclusive — and were allegedly damaged.

Social Capital Hedosophia was the special-purpose acquisition company (SPAC) that took Virgin Galactic public in October 2019, so the class reaches back to IPOA shares bought shortly before the merger as well as SPCE shares bought after it.

Only the publicly traded common stock is eligible — Social Capital and Virgin Galactic units and warrants are not eligible for a recovery, and shares acquired through the exercise, conversion, or exchange of non-publicly-traded securities are excluded. IPOA shares that automatically converted into SPCE in the October 2019 merger are treated as a purchase of Virgin Galactic stock at $10 per share under the Plan of Allocation.

Certain parties are excluded from the Settlement Class, including persons and entities that suffered no compensable losses, the defendants, officers and directors of Virgin Galactic or Social Capital during the period and their immediate families, holders of Vieco 10 Ltd. shares as of October 25, 2019, the defendants' liability insurance carriers, Virgin Group Holdings Limited and its subsidiaries, and the legal representatives, heirs, successors, and assigns of any excluded person. Anyone who validly and timely requests exclusion is also excluded. The official Long Notice lists the complete exclusions.

Receiving a notice does not automatically mean you are a class member or that you will receive money. The parties do not have access to your individual trading records, so you must check your own brokerage statements (or contact your broker) to confirm your SPCE or IPOA transactions, and you must submit a Claim Form to be eligible for a payment.

How Much Can You Get?

Your payment depends on when you bought and sold your shares, the prices you paid and received, and the total Recognized Losses of all valid claims filed. Because the money is divided proportionally, no one can tell you an exact amount in advance.

The Plan of Allocation in the official notice splits the Net Settlement Fund into two pools:

• Active Claims — shares purchased between July 12, 2021 and September 2, 2021 (the window between the Branson flight and the disclosures that followed) share approximately 88.2% of the net fund. The notice estimates an average recovery of roughly $0.075 per damaged share before deductions.
• Dismissed Claims — purchases on all other dates within the July 10, 2019 – August 4, 2022 Class Period share approximately 11.8% of the net fund, an estimated average of roughly $0.0012 per damaged share before deductions.

If the Court approves the fee and expense application, the notice estimates the net average cost per eligible security at $0.0387 for Active Claims and $0.0006 for Dismissed Claims (not including notice and administration costs). Purchases made between August 10 and August 19, 2021 may alternatively qualify for an enhanced "Insider Trading Claim" Recognized Loss if it produces a higher figure.

These figures are estimates only and are not a promise of what you will receive. Your actual recovery is calculated under the Court-approved Plan of Allocation, which assigns a Recognized Loss to each eligible share based on when it was purchased and sold relative to the alleged corrective disclosures, matches purchases and sales on a first-in, first-out (FIFO) basis, and uses a holding value of $6.76 per share (pre-split) for shares still held at the end of the Class Period. All prices and share quantities are on a pre-split basis — that is, not adjusted for Virgin Galactic's June 2024 1-for-20 reverse stock split. After all claims are processed and the settlement becomes final, each authorized claimant receives a pro rata share of the Net Settlement Fund equal to their Recognized Loss divided by the total Recognized Losses of all claimants. No distribution of less than $10.00 will be made.

What Did Virgin Galactic Allegedly Do?

Virgin Galactic is a space-tourism company developing rocket-powered spaceplanes to carry private passengers on suborbital flights. The complaint focuses on the company's public statements about the safety and readiness of its vehicles and the progress of its commercial flight program during the Class Period.

According to the plaintiffs, the defendants failed to disclose safety issues arising from the company's test flights, including a February 2019 test flight and the high-profile July 11, 2021 "Unity 22" flight carrying Richard Branson. On that flight, a caution light came on during ascent and the spaceplane flew outside its designated airspace for about a minute and forty-one seconds. When The New Yorker reported the deviation on September 1, 2021, and the FAA grounded the vehicle the next day pending a mishap investigation, the stock price declined and investors who had bought during the Class Period were allegedly damaged.

The defendants deny all allegations of wrongdoing and maintain that their disclosures were accurate. The Court has not decided in favor of either side — the settlement is a compromise that ends the litigation and provides a guaranteed cash recovery for the class.

How to File a Virgin Galactic Claim

To receive a payment, you must submit a Proof of Claim and Release Form. There are two ways to file, both with the same August 13, 2026 deadline:

Method 1: Online (recommended). Complete and submit the Claim Form electronically through the official Settlement Website by 11:59 p.m. ET on August 13, 2026. The site lets you upload a spreadsheet with your transaction data instead of entering each trade manually, and you will receive an automated confirmation email — keep it as proof of submission.

Method 2: U.S. Mail. Download the printable Proof of Claim and Release form from the official Settlement Website, complete it, attach your supporting documentation, and mail it to the Claims Administrator so that it is postmarked no later than August 13, 2026. Note that the notice says mailed claims take significantly longer to process, and a mailed claim's Recognized Loss is reduced by the greater of $5 or 1%.

Before you file, gather your brokerage records. The Claim Form asks you to list and document, in chronological order, your holdings of SPCE and/or IPOA common stock at the start of the relevant period and every purchase, acquisition, and sale during the period (trade date, number of shares, and price per share), along with your closing holdings.

Brokerage confirmations or monthly account statements showing trade dates, share quantities, and prices are the documents the administrator typically accepts. Keep copies of everything you submit, and do not send original documents.

Claim Form Website: VirginGalacticSecuritiesSettlement.com

Submit Claim

Key Virgin Galactic Settlement Deadlines

• Class Period: July 10, 2019 through August 4, 2022 (inclusive) — SPCE and/or IPOA common stock
• Exclusion (opt-out) deadline: received by June 18, 2026
• Objection deadline: received by June 9, 2026
• Claim Form deadline: submitted online by 11:59 p.m. ET, or postmarked, by August 13, 2026
• Settlement Hearing: July 9, 2026 at 10:00 a.m., before the Honorable Taryn A. Merkl, U.S. District Court for the Eastern District of New York, 225 Cadman Plaza East, Brooklyn, NY

The Court may change the date or time of the hearing, or hold it remotely, without further mailed notice. Check the official Settlement Website before the hearing if you plan to attend.

When Will Payments Be Made?

Payments cannot be made until after the Court approves the settlement at the July 9, 2026 hearing and the approval becomes final. If anyone appeals, distribution can be delayed — sometimes by more than a year — and it also takes time for all Claim Forms to be processed. There is no fixed payment date.

Your Options: Claim, Exclude Yourself, Object, or Do Nothing

As a Settlement Class Member, you have several choices, each with consequences:

• Submit a Claim Form — the only way to receive a payment. Deadline: August 13, 2026.
• Exclude yourself (opt out) — you receive no payment but keep the right to sue the defendants separately about the released claims. A written request with documentation of your transactions must be received by June 18, 2026. You cannot opt out by phone or email.
• Object — stay in the class but tell the Court in writing why you disagree with the settlement, the Plan of Allocation, or the fee request. Objections had to be received by June 9, 2026.
• Do nothing — you receive no payment and, unless you opt out, you are still bound by the settlement and give up your right to sue over the released claims.

Attorneys' Fees and Expenses

Lead Counsel — Glancy Prongay Wolke & Rotter LLP and The Rosen Law Firm, P.A. — will ask the Court to award attorneys' fees of up to 33⅓% of the Settlement Fund and reimbursement of litigation expenses of up to $1.55 million, which includes a request for aggregate awards of $55,000 to the plaintiffs under 15 U.S.C. §78u-4(a)(4). Lead Counsel will also seek payment of notice and administration costs, estimated at approximately $985,000. The Court may award less than these amounts, and any amounts approved come out of the Settlement Fund — class members are not personally liable for any fees or expenses.

Watch Out for Settlement Scams

With any securities settlement, be cautious about how you file and who you share information with:

• Use the official Settlement Website only: VirginGalacticSecuritiesSettlement.com. Bookmark it, and be wary of emails or texts linking to a similar-looking page on a different domain.
• Never pay a fee. Legitimate class action settlements never charge an activation, release, or processing fee to send you your money.
• Share only what is needed. The Claims Administrator needs your transaction documentation and contact details — not banking passwords or unrelated personal data.
• If you lost your notice or need help, use the contact form on the official Settlement Website rather than responding to unsolicited messages.

You can browse other open investor claims on our securities class action settlements tracker.

Frequently Asked Questions About the Virgin Galactic Settlement

What is the Virgin Galactic securities settlement?

An $8,500,000 cash settlement resolving Lavin v. Virgin Galactic Holdings, Inc., Case No. 1:21-cv-03070-ARR-TAM, in the U.S. District Court for the Eastern District of New York. The lawsuit alleged that Virgin Galactic and certain officers and directors made false and misleading statements and failed to disclose information about the safety of its spaceflight vehicles and the success of its commercial flight program. Defendants deny any wrongdoing.

Who is included in the Virgin Galactic Settlement Class?

All persons and entities who purchased or otherwise acquired publicly traded Virgin Galactic Holdings, Inc. (NYSE: SPCE) common stock and/or Social Capital Hedosophia Holdings Corp. (IPOA) common stock between July 10, 2019 and August 4, 2022, inclusive, and were allegedly damaged. Defendants, their immediate families, and certain related parties are excluded; the official notice lists the full exclusions.

How much money can I get from the Virgin Galactic settlement?

Your payment depends on when you bought and sold your shares and the total valid claims filed. Under the Plan of Allocation, shares purchased between July 12, 2021 and September 2, 2021 (Active Claims) share about 88.2% of the net fund, with an estimated average recovery of roughly $0.075 per damaged share before deductions; all other class-period purchases (Dismissed Claims) share about 11.8%, an estimated average of roughly $0.0012 per damaged share. These are estimates only — actual payments are pro rata under the court-approved Plan of Allocation.

What is the deadline to file a Virgin Galactic claim?

Claim Forms must be submitted online by 11:59 p.m. ET, or postmarked, by August 13, 2026. Requests for exclusion must be received by June 18, 2026, and objections were due June 9, 2026. The Court will hold a Settlement Hearing on July 9, 2026 at 10:00 a.m. in Brooklyn, NY.

What proof do I need to file a Virgin Galactic claim?

Yes, documentation is required. You must list and document your purchases, acquisitions, and sales of Virgin Galactic (SPCE) and/or Social Capital Hedosophia (IPOA) common stock during the relevant periods, plus your holdings at the start and end of the period. Brokerage confirmations or account statements showing trade dates, share quantities, and prices are the typical supporting documents.

What happens if I do nothing?

If you do nothing, you will not receive a payment, and unless you exclude yourself, you will still be bound by the settlement and give up your right to sue the defendants over the released claims. The only way to receive money is to submit a valid Claim Form by August 13, 2026.

Official Settlement Notice

Sources

• Notice of Pendency of Class Action, Certification of Settlement Class, and Proposed Settlement, Lavin v. Virgin Galactic Holdings, Inc., No. 1:21-cv-03070-ARR-TAM (E.D.N.Y.), dated March 11, 2026: Official Long Notice (PDF)
• Stipulation and Agreement of Settlement, dated November 3, 2025
• Official Settlement Website: VirginGalacticSecuritiesSettlement.com
• Case docket: Lavin v. Virgin Galactic Holdings, Inc. on CourtListener
• Settlement announcement: PR Newswire notice by Lead Counsel
• Lead Counsel: Glancy Prongay Wolke & Rotter LLP; The Rosen Law Firm, P.A.
• Defendants' Counsel: Latham & Watkins LLP

Filing Class Action Settlement Claims

Please submit only truthful information through the official Settlement Website, and document your SPCE and IPOA transactions accurately. The official Settlement Website is the authoritative source for benefit amounts, deadlines, and filing instructions. If you are unsure whether you qualify, contact the Claims Administrator through the Settlement Website. OpenClassActions.com is a consumer news site and is not the Claims Administrator, Lead Counsel, or a law firm, and we do not process or decide claims.

Settlement Amount $8,500,000

Case Title Lavin v. Virgin Galactic Holdings, Inc.

Case Number 1:21-cv-03070-ARR-TAM

Court U.S. District Court, Eastern District of New York

Class Period July 10, 2019 – August 4, 2022

Claim Deadline August 13, 2026

Settlement Hearing July 9, 2026 at 10:00 a.m. ET 225 Cadman Plaza East, Brooklyn, NY

Administrator Strategic Claims Services

Lead Counsel Glancy Prongay Wolke & Rotter LLP; The Rosen Law Firm, P.A.

Official Website Virgin Galactic Securities Settlement.com

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