Berger Montague Launches Class Action Against Goeasy Ltd.

Berger Montague (Canada) PC, a Toronto-based law firm, has initiated a shareholder class action against Goeasy Ltd. The legal action follows Goeasy's announcement of a significant financial charge. In Q4 2025, the company reported a charge off of $178 million related to its Lendcare business. This charge impacts gross consumer loans receivable totaling $5.5 billion.

Additionally, Goeasy declared a write down of $55 million for loan interest and fees. Total net charge offs for the quarter were expected to reach $331 million, while an $86 million increase in allowance for credit losses was anticipated. Consequently, Goeasy withdrew its previous Q4 2025 outlook and three-year forecast.

The revelation of inaccurate historical reporting practices added further concerns. Following these disclosures, Goeasy's share price plummeted from $115.55 to $49.72, and the company's credit rating suffered a downgrade.