The Zoom securities settlement is a $150 million cash resolution of a shareholder class action accusing Zoom Video Communications of misleading investors about the security of its videoconferencing platform, most notably its claim to offer end-to-end encryption. The settlement covers people who bought Zoom common stock, bought call options, or sold put options between April 18, 2019 and April 6, 2020. It received final approval in late 2025, and claims were due September 16, 2025.1Law360. Zoom to Pay Investors $150M in Suit Over Encryption Claims2BusinessWire. Robbins Geller Rudman Dowd LLP Announces Proposed Settlement in the Zoom Securities Litigation
Who Is Covered
The class includes anyone who, between April 18, 2019 and April 6, 2020, purchased or acquired Zoom common stock, purchased call options on Zoom stock, or sold put options on Zoom stock.2BusinessWire. Robbins Geller Rudman Dowd LLP Announces Proposed Settlement in the Zoom Securities Litigation The window opens on the date of Zoom’s initial public offering and closes on the date the last of the corrective disclosures hit the market. If you held Zoom stock during that period but bought before it or after it, you are not part of the class.
Class members who did nothing are still bound by the settlement’s release of claims. Filing a proof of claim is what triggers a payment; staying silent gives up the money without preserving the right to sue separately.
What the Case Was About
Zoom’s April 2019 IPO prospectus described the platform as offering “robust security capabilities, including end-to-end encryption.” Shareholders alleged that was false. Zoom held the cryptographic keys itself, which meant it could access the content of user meetings, and the Federal Trade Commission later reached the same conclusion in a separate enforcement action.3Federal Trade Commission. FTC Requires Zoom to Enhance Its Security Practices as Part of Settlement
When the encryption claim and other security issues became public in late March and early April 2020, Zoom’s share price dropped roughly 19.6% between March 27 and April 2, then another 4.1% by April 6.4The D&O Diary. Zoom Hit With Securities Suit Raising Pandemic-Linked Allegations Based on Privacy Concerns The complaint alleged those declines reflected the correction of an artificially inflated price. Zoom agreed to settle without admitting wrongdoing.1Law360. Zoom to Pay Investors $150M in Suit Over Encryption Claims
How to File a Claim
Proof of Claim forms had to be submitted by September 16, 2025, either electronically or by mail through the official settlement website at www.ZoomSecuritiesSettlement.com. The claims administrator is Gilardi & Co. LLC, reachable at 888-710-2846 or info@ZoomSecuritiesSettlement.com.2BusinessWire. Robbins Geller Rudman Dowd LLP Announces Proposed Settlement in the Zoom Securities Litigation
If you missed the deadline, contact the claims administrator directly. Late claims are handled at the administrator’s and court’s discretion, and the research does not describe a formal late-claim process.
Exclusion requests (opt-outs) and objections to the settlement or the Plan of Allocation had to be postmarked by September 18, 2025. Both deadlines have now passed.2BusinessWire. Robbins Geller Rudman Dowd LLP Announces Proposed Settlement in the Zoom Securities Litigation
How Payments Are Calculated
There is no flat per-share payout. Each class member’s share of the fund is determined by a Plan of Allocation included with the full settlement notice on the settlement website. Recovery depends on when shares or options were bought and sold, and at what prices. The stipulation documents on the settlement site walk through the recognized-loss calculations in detail.2BusinessWire. Robbins Geller Rudman Dowd LLP Announces Proposed Settlement in the Zoom Securities Litigation
Before the fund is divided, the court will deduct attorneys’ fees and expenses. Lead counsel Robbins Geller Rudman & Dowd LLP requested 18.75% of the fund, roughly $28.1 million, plus $262,670.49 in expenses. Lead plaintiff Adam Y. Ali requested a $48,750 service award.5ZoomSecuritiesSettlement.com. Motion for Award of Attorneys’ Fees and Expenses
Current Status
The final approval hearing was set for October 9, 2025 before Judge James Donato of the U.S. District Court for the Northern District of California.2BusinessWire. Robbins Geller Rudman Dowd LLP Announces Proposed Settlement in the Zoom Securities Litigation Court records show the case was terminated on November 10, 2025, meaning final approval was granted.6CourtListener. Drieu v. Zoom Video Communications, Inc.
As of mid-2026, distributions to class members have not been reported. Gilardi & Co. is still processing claims.7Levi & Korsinsky, LLP. Zoom Video Communications, Inc. Settlement In securities class actions of this size, months typically pass between final approval and the first checks going out while the administrator audits claims and calculates each recognized loss. Watch the settlement website for distribution announcements.
Not the Same as the Zoom Privacy Settlement
This securities settlement is separate from In re: Zoom Video Communications, Inc. Privacy Litigation (Case No. 20-2155), an $85 million settlement brought by Zoom users rather than investors, covering claims about data sharing and consumer-side security failures.8GovInfo. In Re: Zoom Video Communications, Inc. Privacy Litigation Different plaintiffs, different claims, different fund. If your connection to Zoom is that you used the app rather than owned the stock, the privacy settlement is the one to look at, not this one.