Vasquez v. Masimo Corporation

A $33.75 Million Dollar Settlement was Reached withMasimo and Certain Executives

On November 14, 2023, Labaton Keller Sucharow was appointed Lead Counsel in a securities class action against Masimo Corporation (Masimo or the Company) and certain executives (collectively, Defendants).  Masimo is a medical technology company that is divided into two business segments: traditional healthcare and non-healthcare (Sound United).  The Action is based on allegations that Defendants made false and misleading statements and omissions about Masimo’s healthcare business, Masimo’s acquisition of Sound United, and the integration of the Sound United business.

On February 12, 2024, Lead Plaintiffs filed Lead Plaintiffs’ First Amended Complaint for Violations of the Federal Securities Laws (“Complaint”) asserting claims under Section 10(b) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Rule 10b-5 promulgated thereunder against the Settling Defendants and defendant Kiani, and asserting claims against Kiani, Young, Muhsin, and Kammerman under Section 20(a) of the Exchange Act.  The Complaint alleged that during the Class Period Defendants made false and misleading statements and omissions related to Masimo’s acquisition and integration of consumer audio firm, Sound United.  The Complaint also alleged false and misleading statements regarding Masimo’s traditional healthcare unit.

On April 29, 2024, Defendants filed a motion to dismiss the Complaint.  Following further briefing, on November 5, 2024, the Court entered its Opinion and Order granting in part and denying in part Defendants’ motion to dismiss the Complaint.

Lead Plaintiffs and Defendants engaged in formal discovery efforts, which began in March 2025.  In total, Lead Plaintiffs reviewed approximately 74,500 pages of documents, including approximately 40,000 pages of documents from ongoing, related litigations involving Defendants Masimo and Kiani. Fact discovery was ongoing when the Settling Parties agreed to settle.

On May 28, 2025, Lead Counsel and counsel for Defendants, among others, participated in a full-day, in-person mediation session before the Mediator. The session ended without any agreement being reached.  Lead Plaintiffs and Defendants continued discussions with the Mediator and on June 16, 2025, the Mediator issued a mediator’s recommendation to resolve all claims in the Action for $33,750,000, which the Settling Parties accepted.

The case is Vasquez v. Masimo Corporation, No. 3:23-cv-01546-L-DEB (S.D. Cal.).  Labaton Keller Sucharow represents Boston Retirement System, Central Pennsylvania Teamsters Pension Fund – Defined Benefit Plan, and Central Pennsylvania Teamsters Pension Fund – Retirement Income Plan. The Court in charge of the case is the United States District Court for the Southern District of California.

Submit Claim Form

If you purchased or acquired the publicly traded common stock of Masimo Corporation during the period from May 4, 2022 through August 8, 2023, both dates inclusive (the “Class Period”), and were allegedly damaged thereby, you may be entitled to a payment from a class action settlement.  To be eligible for a payment, you must submit a Claim Form to the Claims Administrator by April 28, 2026.

Settlement Hearing

A Settlement Hearing will be held on May 5, 2026 at 9:30 a.m. (Pacific Time) either remotely or in person, at the United States District Court for the Southern District of California, Edward J. Schwartz United States Courthouse, 221 West Broadway, San Diego, CA 92101.

If you have questions about the Settlement, please contact Labaton Keller Sucharow at settlementquestions@labaton.com; 1-888-219-6877; or contact the Claims Administrator, A.B. Data, Ltd., (866) 830-0516, info@MasimoSecuritiesSettlement.co.  Additional information about the Settlement can be found at www.MasimoCoSecuritiesSettlement.com.

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