Class Action Lawsuit Filed Against Duolingo Alleging Misleading Disclosures
A class action lawsuit has been filed against Duolingo, Inc. (NASDAQ: DUOL) and certain officers by Bronstein, Gewirtz & Grossman LLC on behalf of investors who purchased the company's securities between May 2, 2025, and February 26, 2026. The lawsuit alleges that Defendants failed to disclose how user friction—such as increased ad volume, subscription upsells, and lower product quality—was negatively impacting daily active users (DAUs) and the company's financial sustainability. The complaint claims Duolingo conducted A/B testing showing these tactics were harming DAU growth rates. Additionally, it states that rapidly generated AI content was degrading user experience and threatening long-term performance. Investors are invited to join the case by December 7, 2026, with no upfront costs as the firm operates on a contingency basis. The lawsuit seeks damages for alleged violations of federal securities laws and aims to hold corporate leaders accountable while protecting investor interests.
Tickers: $DUOL
Topics: class action lawsuit Duolingo investor rights securities fraud