Bruush Oral Care Inc. Securities Investigation
The White Law Group is investigating potential claims involving brokerage firms for the unsuitable sale and recommendation of investments in Bruush Oral Care.
The company’s common stock was traded on the Nasdaq Capital Market, or NASDAQ, under the symbol “BRSH.”
In August 2022, Bruush Oral Care Inc. offered shares of its common stock for sale to investors. As of February 28, 2024, the average post offering return was –99.9%.
According to its prospectus, investing in Bruush Oral Care’s securities is highly speculative and involves a high degree of risk.
Background and Latest News – BRSH
Founded in 2018, Bruush Oral Care Company is an e-commerce business with a product portfolio that currently consists of a sonic-powered electric toothbrush kit and brush head refills.
Bruush Oral Care Inc. (BRSH) reportedly received a notice from the Listing Qualifications Department of The Nasdaq Stock Market (Nasdaq) on July 20, 2023, stating that its securities would be delisted from Nasdaq due to non-compliance with listing rules.The reasons for delisting include:
- Failure to maintain a minimum bid price of $1.00 per share for 30 consecutive business days, as required by Nasdaq Listing Rule 5450(a)(1).
- Insufficient stockholders’ equity, as reported in the company’s Annual Report on Form 20-F, which did not meet the minimum requirement.
As a result, trading of Bruush Oral Care’s common stock was suspended, and its securities were removed from listing and registration on Nasdaq. The company reporteldy intends to appeal the delisting determination and is working on a plan to regain compliance with the listing rules.
Broker Responsibilities and Investor Protections
Broker dealers are required to conduct thorough due diligence on any investment they recommend and ensure that all recommendations are suitable for their clients. Firms that fail in this duty may be held liable for investor losses through FINRA arbitration claims.
If a broker or brokerage firm makes an unsuitable investment recommendation or fails to disclose the associated risks adequately, they may be found liable for investment losses in a FINRA arbitration claim. Fortunately, FINRA provides an arbitration forum for investors to resolve such disputes.
Class Action vs. Individual FINRA Arbitration Lawsuit
You may wonder whether a large class action lawsuit is a better litigation option than an individual FINRA arbitration case. The answer depends on many factors, but typically if the loss sustained is large (say larger than $100,000), an individual arbitration claim is likely a better option. Class actions as a recovery option are more appropriate for grouping large numbers of individuals who have small claims – too small to generally pursue individually.
Free Consultation
If you have suffered investment losses in Bruush Oral Care, you may have recovery options. The securities attorneys at The White Law Group offer free consultations and can be reached at 1-888-637-5510.
About The White Law Group
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Seattle, Washington. The firm represents investors across the country in claims against their brokerage firms.
Last modified: August 6, 2024
