Acadia Healthcare Company, Inc. has filed an 8-K report disclosing the preliminary approval of a settlement to resolve stockholder derivative litigation. The settlement resolves claims brought by three plaintiffs—Robert Davydov, Margaret Pfenning, and John Solak—on behalf of the company against a group of individual defendants.
The litigation, which spanned multiple jurisdictions, alleged breaches of fiduciary duty, violations of the Securities Exchange Act, and other corporate governance issues. The cases were consolidated and deferred pending the outcome of a related securities class action. Following the resolution of the class action in November 2025, the derivative cases were revived.
Under the terms of the Stipulation of Settlement, dated July 31, 2026, the company will pay $12,000,000 to resolve the claims. In addition to the monetary payment, the settlement includes a commitment to implement specific corporate governance reforms. The settlement is subject to approval by the U.S. District Court for the Middle District of Tennessee and the Court of Chancery of the State of Delaware.
