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Satellite TV Installer LinkUs Sued Over Employee Stock Plan

Oct. 13, 2021, 7:13 PM

A former LinkUs Holdings Inc. employee filed a proposed class action in California federal court, claiming the satellite television installer’s former owners offloaded their stock to workers at an inflated price through an employee stock ownership plan.

Jessica Dailey’s lawsuit, filed Tuesday in the U.S. District Court for the Eastern District of California, challenges a 2013 transaction in which the LinkUs employee stock ownership plan paid more than $34 million for 88% of the company’s outstanding stock. The transaction, which was financed by a loan from LinkUs, significantly overvalued the company and forced workers to pay too much for LinkUs ...

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