June 17, 2011
Chimicles & Tikellis LLP, Labaton Sucharow LLP, Eccleston Law Offices, P.C., and Stoltman Law Offices, P.C., Announce Securities Class Action Lawsuit Against Apple REIT Ten, Inc., Apple REIT Nine, Inc., David Lerner Associates Inc., and Other Related Defendants
HAVERFORD, PA (June 17, 2011) — The law firms of Chimicles & Tikellis LLP, Labaton Sucharow LLP, Eccleston Law Offices, P.C., and Stoltman Law Offices, P.C., announce that a securities class action lawsuit was commenced in the United States District Court for the Eastern District of New York on June 17, 2011 against defendants Apple REIT Ten, Inc. ("REIT Ten"), Apple REIT Nine, Inc. ("REIT Nine"), Apple Nine Advisors, Inc., Apple Ten Advisors, Inc., David Lerner & Associates, Inc. ("DLA"), David Lerner, Glade M. Knight, Bryan Peery, Kent W. Colton, Glenn W. Bunting, R. Garnett Hall, Jr., Ronald A. Rosenfeld, Anthony Francis Keating III, Lisa B. Kern, Bruce H. Matson, Michael S. Waters, and Robert M. Wily. The lawsuit alleges claims under Sections 11, 12, and 15 of the Securities Act of 1933 on behalf of a Class of all persons who purchased or otherwise acquired REIT Nine and REIT Ten securities between June 16, 2008 and the present, inclusive (the "Class Period"), who suffered damages as a result of the actions complained of therein (the "Class").
The Complaint alleges, among other things, that: (1) REIT Nine's and REIT Ten's registration statements and prospectuses failed to disclose material information concerning the value of shares of prior Apple REITs, which pursued nearly identical investment strategies and whose share value had declined significantly, (2) the operations and investment model pursued by REIT Nine and REIT Ten was virtually guaranteed to lose investors' capital, and (3) DLA solicited purchases of REIT Nine and REIT Ten by means of false and misleading statements concerning the distributions paid by prior Apple REITs.
If you purchased or acquired shares of REIT Nine or REIT Ten during the class period you may, no later than August 16, 2011, apply to the United States District Court, Eastern District of New York, to be appointed as a Lead Plaintiff in this proposed class action. A Lead Plaintiff is a representative, chosen by the Court, who acts on behalf of other class members in directing the litigation. The Private Securities Litigation Reform Act of 1995 directs Courts to assume that the class member(s) with the "largest financial interest" in the outcome of the case will best serve the class in this capacity. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Chimicles & Tikellis LLP, or other counsel of your choice, to serve as your counsel in this Action.
If you wish to discuss this lawsuit or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel Nicholas E. Chimicles, Kimberly M. Donaldson, or Timothy N. Mathews toll free at 1-888-805-7848 or via email at firstname.lastname@example.org.