The Joint Chiropractic lawsuit picture involves several matters at once: a California wage-and-hour class action against parent company The Joint Corp. that is heading toward final approval in July 2026, civil suits by 17 patients tied to a hidden camera found in a Valencia clinic bathroom, a trademark case The Joint Corp. itself brought and won, a securities investigation that followed a sharp 2021 stock drop, and a financial restatement disclosed in 2025 during the company’s shift to a franchise-only model.
Senna Wage-and-Hour Class Action in California
Former employee Stephanie Senna sued The Joint Corp. in Contra Costa County Superior Court in March 2023, alleging the company shortchanged non-exempt hourly workers in California. The complaint accused the company of failing to pay minimum wages, failing to pay overtime, failing to provide meal breaks, failing to give proper wage statements, failing to reimburse business expenses, and failing to pay all wages owed when employees left. It also brought claims under California’s Private Attorneys General Act (PAGA), which lets employees seek penalties on behalf of the state.1Contra Costa Superior Court. Order Granting Preliminary Approval of Class Action and PAGA Settlement, Case No. C23-02194
The court granted preliminary approval on February 2, 2026. The gross settlement fund is $1.4 million, with a $50,000 allocation for PAGA penalties split between the California Labor and Workforce Development Agency and aggrieved employees under the Labor Code formula.1Contra Costa Superior Court. Order Granting Preliminary Approval of Class Action and PAGA Settlement, Case No. C23-02194 The class covers all current and former non-exempt hourly employees who worked for the company in California between March 6, 2019, and the date of preliminary approval. The average payout per class member is estimated at roughly $753.
ILYM Group, Inc. is administering claims and began mailing notices on April 2, 2026. Class members had until May 18, 2026, to opt out, object, or dispute their individual information.2ILYM Group. Senna v. The Joint Chiropractic Management Company Settlement The final approval hearing is set for July 2, 2026, in Department 39.
Hidden-Camera Lawsuits at the Valencia Clinic
In May 2024, a hidden camera was found in a bathroom at a Joint Chiropractic clinic in Valencia, in the Santa Clarita area. According to reporting, the camera was taped to a cabinet and connected to a power bank. Dr. Nicholas Vanderhyde, a 40-year-old chiropractor at the clinic, was arrested by the Los Angeles County Sheriff’s Department on June 4, 2024, on suspicion of possessing obscene material depicting a minor, and released the same day after posting $5,000 bail.3Los Angeles Daily News. Hidden Camera in Valencia Chiropractic Clinic Restroom May Have Recorded Patients, Lawsuit Claims
The Joint Chiropractic placed Vanderhyde on administrative leave, later fired him, and reported the incident to the California Board of Chiropractic Examiners, which had no prior disciplinary history on file for him.3Los Angeles Daily News. Hidden Camera in Valencia Chiropractic Clinic Restroom May Have Recorded Patients, Lawsuit Claims
Patient Civil Suits
In late July 2024, 17 patients from 11 families, including four minors, filed a civil lawsuit in Los Angeles Superior Court against Vanderhyde and The Joint Chiropractic. The complaint alleged negligence, sexual battery, sexual harassment, and invasion of privacy, and said the hidden camera captured patients and children undressing and using the restroom. Plaintiffs also alleged inappropriate contact during treatment sessions, including touching that was not standard chiropractic care.4ABC7 Los Angeles. 17 Patients File Lawsuit After Hidden Camera Found at Joint Chiropractic in Santa Clarita The suit further alleged that Vanderhyde sexually harassed and stalked female employees and that The Joint Chiropractic failed to supervise him despite prior knowledge of his behavior.5Sacramento Bee. Hidden Camera in Valencia Chiropractic Clinic Restroom
As of September 2025, five consolidated civil cases were pending against Vanderhyde. A hearing was set for January 28, 2026, with a mandated settlement conference to follow.6The Signal. Lawsuits Continue Against Chiropractor, Not Charges
Criminal Case Declined
The Los Angeles County District Attorney’s Office declined to file criminal charges. A charge-evaluation worksheet dated October 31, 2024, signed by Deputy District Attorney Jeffrey Greenberg, said prosecutors found the initial camera footage insufficient and requested more evidence. The charges originally presented by investigators were invasion of privacy and possession of child pornography. As of September 2025, the investigating detective said the criminal case was unlikely to change status “unless more evidence came across my desk.”6The Signal. Lawsuits Continue Against Chiropractor, Not Charges
Trademark Case The Joint Corp. Won
Not every case has the company as defendant. In June 2024, The Joint Corp. sued an unrelated entity called Joint Chiropractic LLC for trademark infringement in the U.S. District Court for the District of New Jersey. The defendant did not respond. The clerk entered default in September 2024, followed by a default judgment in November 2024.7CourtListener. The Joint Corp. v. Joint Chiropractic LLC, Case No. 1:24-cv-06761
Final judgment in January 2025 went to The Joint Corp. on all counts. The court awarded $1,224,538.53 in statutory damages, a trebling of the $408,179.51 base figure after finding the infringement willful, plus $31,866.50 in attorney fees and $1,155.73 in costs. The defendant was ordered to account for all profits from the infringing marks within 30 days.8PACER Monitor. The Joint Corp. v. Joint Chiropractic LLC
Securities Investigation After the 2021 Stock Drop
On October 7, 2021, a market research firm called The Bear Cave published a report alleging that The Joint Corp. had been re-acquiring struggling clinics, may have used an undisclosed related party to lend money to its franchises, and had been overbilling customers. The company’s stock fell more than 11% that day, closing at $85.53 after dropping roughly $11 to $12 in intraday trading.9PR Newswire. Shareholder Alert: Pomerantz Law Firm Investigates Claims on Behalf of Investors of The Joint Corp
The Pomerantz Law Firm announced an investigation on October 15, 2021, and the Rosen Law Firm also opened one, looking into whether the company had issued “materially misleading business information to the investing public.”9PR Newswire. Shareholder Alert: Pomerantz Law Firm Investigates Claims on Behalf of Investors of The Joint Corp The available record does not show that a formal securities class action was ultimately filed out of those investigations.
Franchisee Complaints and State Regulatory Scrutiny
The franchise model itself has drawn separate challenges. A 2018 New Jersey lawsuit alleged that a 22-year-old car crash survivor was misled into using settlement money to open a Joint Chiropractic franchise that later failed, with losses exceeding $300,000.10The Bear Cave. More Problems at The Joint Corp
State regulators have also weighed in. The North Carolina Board of Chiropractic Examiners alleged violations against 16 chiropractors working for clinics managed by non-chiropractor franchisees, finding probable cause on quality-of-care and advertising concerns. Washington’s Chiropractic Quality Assurance Commission investigated three chiropractors over fee-splitting arrangements. Arkansas regulators questioned whether the business model violated state laws restricting ownership of chiropractic practices by non-chiropractors, and Oregon adopted rules aimed at preventing chiropractors from serving as surrogates for non-chiropractor owners.10The Bear Cave. More Problems at The Joint Corp
Financial Restatement and the Joint 2.0 Restructuring
In July 2025, The Joint Corp. said it would restate its audited financial statements for 2024 and its first-quarter 2025 interim results after misapplying accounting rules on how it valued clinics being held for sale. The error affected noncash impairment charges and overstated the company’s 2024 net loss by roughly $2.2 million.11The Joint Corp. The Joint Corp. Expects to Restate Full Year 2024 and First Quarter 2025 Financial Statements
Management acknowledged that the errors amounted to a material weakness in internal controls over financial reporting and that disclosure controls had been ineffective during the affected periods. The company told investors to stop relying on the previously issued financials and filed amended annual and quarterly reports with the SEC.12SEC. The Joint Corp. Form 10-K/A The restatement did not affect adjusted EBITDA or the company’s cash position, according to preliminary estimates.11The Joint Corp. The Joint Corp. Expects to Restate Full Year 2024 and First Quarter 2025 Financial Statements
The restatement came during a broader restructuring the company calls “Joint 2.0,” a shift toward what it describes as a “capital-light, pure-play franchisor.” In June 2025, The Joint Corp. signed a binding agreement to sell 31 clinics in Arizona and New Mexico to its largest franchisee, Joint Ventures, LLC, in exchange for cash and regional developer rights in the Pacific Northwest.13GlobeNewsWire. The Joint Corp. Signs Binding Agreement to Sell 31 Corporate Clinics in Arizona and New Mexico In December 2025 it sold 22 more clinics to three groups of existing franchisees and chiropractors for $1.5 million.14SEC. The Joint Corp. Press Release, December 11, 2025 In April 2026 it agreed to sell 45 Southern California clinics to Elite Chiro Group for about $2.3 million.15The Joint Corp. The Joint Corp. Signs Asset Purchase Agreement to Sell 45 Corporate-Managed Clinics Once pending transactions close, the company expects to keep just three corporate-managed locations out of roughly 960 clinics in its system.