Kornit Digital (KRNT) $19.5M Securities Settlement

Who Is Eligible?

You may be eligible to file a claim if you:

• Three gates stand between you and a payment, and you have to clear all three.
• Gate one is the buying window. You had to buy or otherwise acquire Kornit ordinary shares between 17 February 2021 and 5 July 2022, or acquire them through Kornit's secondary share offering in November 2021. Both routes are written into the class definition.
• Gate two is the holding test, and it is the one that catches people. You had to still own at least some of those shares going into 11 May 2022 or 6 July 2022. Sell everything before 11 May 2022 and your recognized loss is zero.
• Gate three is whether you came out behind. The administrator adds up what you paid, what you sold for, and what your remaining shares were worth. Finish ahead on Kornit overall during the class period and your claim is worth nothing, no matter how the first two gates went.
• A few smaller rules decide the edge cases. Option contracts do not count, though shares you got by exercising an option do. Short sales are valued at zero. Shares that came to you as a gift or through an inheritance are not treated as a purchase unless the person who gave them to you bought them during the class period and the paperwork says the claim travels with them.
• Some people are excluded outright: Kornit itself, its officers and directors and their close family, the four banks that underwrote the November 2021 offering, Amazon's two investment entities, and the insurers covering Kornit's directors.
• One thing you do not need is an ID number. Some settlements only let you file with a code from a notice they mailed you. This is not one of those. If you traded KRNT in the window, you can start a claim today with nothing but your brokerage records.

How Much Can You Get?

The notice gives a real number, which is unusual. Lead plaintiffs' damages expert puts the average recovery at $0.53 per eligible share before the lawyers are paid, and estimates the fee and expense award at $0.13 per share. Call it forty cents a share net. A thousand shares works out near $400, not the thousands the $19.5 million headline suggests.

Now the part almost nobody expects. Your recovery is driven by when you bought, not by how long you held or how much you lost. The expert assigned a different amount of alleged artificial inflation to each stretch of the class period:

• Bought 17 February 2021 to 14 February 2022: $1.24 per share.
• Bought 15 February 2022 to 10 May 2022: $20.21 per share.
• Bought 11 May 2022 to 5 July 2022: $8.28 per share.
• Bought 6 July 2022 or later: nothing, and you are outside the class anyway.

Read those figures again. Someone who bought in that narrow spring 2022 window carries sixteen times the per-share value of someone who bought a year earlier and rode the whole decline down. The notice explains why: the court threw out more than 90% of the alleged false statements and every one of the Securities Act claims, which left the early purchases resting on a much weaker legal theory. So the $1.24 is only 15% of the $8.28 that came out of the price on 6 July 2022. Sell during the May to July window instead and an early purchase is capped at 20% of that $1.24, which is 25 cents.

Two more caps can bite. If you still held shares after 3 October 2022, your loss per share cannot exceed your purchase price minus $28.67, the average closing price over the ninety trading days after the second disclosure. And if you finished the class period ahead on Kornit overall, your claim drops to zero. For that overall test alone the administrator values anything you were still holding on 5 July 2022 at $23.46 a share.

Finally, the fund is split pro rata, so the final figure depends on how many valid claims arrive. Anyone whose share works out below $10.00 gets nothing, and that money is spread among the claimants above the line.

How to File Your Claim

File with the administrator:

• File online at kornitsecuritieslitigation.com, which is run by JND Legal Administration. Paper forms go to a PO box in Seattle. Either way the deadline is 10 December 2026, postmarked or submitted, and there is no ID code to hunt for first.
• Before you start, pull your brokerage records. The notice says it plainly: the parties and the administrator have no idea what you traded. Nobody is going to fill this in for you or check your math against their own data.
• Here is the trap. You must document your Kornit trades from 6 July 2022 through 3 October 2022, a stretch that sits entirely outside the class period. It is the ninety-day look-back the securities laws require, and the administrator needs it to apply the $28.67 cap. Pull only the class period statements, which is the obvious thing to do, and your claim can be rejected.
• Report every transaction in the window, winners included. Cherry-picking your losing trades is grounds for rejection, and the form is signed under penalty of perjury.
• Use a separate form for each legal entity. Your IRA and your ordinary brokerage account are two claims, not one, and separately managed accounts can each have their own.
• The beneficial owner signs, meaning you rather than the broker whose name the shares sit in. Joint owners all sign. Executors and trustees have to state the capacity they are acting in and attach proof of their authority.
• Then wait, and expect to wait a while. The judge has not approved this settlement yet. The fairness hearing is set for 18 November 2026 at 3:00 p.m. Eastern, three weeks before claims even close, and payment only follows final approval, the expiry of any appeals, and the processing of every claim.
• Two earlier dates matter only if you want out or want to argue. To exclude yourself, or to object to the deal, the allocation or the 22% fee request, your letter has to reach the court by 28 October 2026. Excluding yourself is the only way to keep the right to sue Kornit on your own, and the notice warns that the clock on those claims may already have run out.

Frequently Asked Questions