Rackspace Class Action Lawsuit: 9 Frequently Asked Questions

Introduction to the Rackspace Class Action Lawsuit

• The Rackspace class action lawsuit seeks to represent purchasers or acquirers of Rackspace Technology, Inc. (NASDAQ: RXT) securities between May 7, 2026 and July 8, 2026, inclusive (the “Class Period”).

• Captioned Morgan-Reed v. Rackspace Technology, Inc., No. 26-cv-06491 (S.D.N.Y.), the Rackspace class action lawsuit charges Rackspace and certain of Rackspace’s top executives with violations of the Securities Exchange Act of 1934.

• If you suffered substantial losses and wish to serve as lead plaintiff of the Rackspace class action lawsuit  or just have general questions about you rights as a shareholder, please contact attorney Timothy L. Miles of the Law Offices of Timothy L. Miles, at no cost, by calling 855/846-6529 or via e-mail at [email protected].

• Lead plaintiff motions for the Rackspace class action lawsuit must be filed with the court no later than September 28, 2026.

Read on for answers to nine frequently asked questions from investors about the Rackspace class action lawsuit.

1. How Do I Know If I Am a Member of the Class in the Rackspace Class Action Lawsuit?

If you purchased securities during the Class Period and sustained losses, you are automatically a member of the class in the Rackspace class action lawsuit.

2. Do I Need Proof of My Stock Ownership in the Rackspace Class Action Lawsuit?

​Yes. The best evidence of ownership are the confirmation slips received when the stock was purchased. You may also use your brokerage statements of account indicating when you bought the stock and at what price. You should be sure to keep these records in a safe place since you may need to submit them to the claims administrator after the Rackspace class action lawsuit has been resolved.

3. Can I Sell My Rackspace Stock and Still Be a Class Member in the Rackspace Class Action Lawsuit?

Yes, you do not need to possess the stock after the class period has finished to participate in the Rackspace class action lawsuit.

4. What Damages Are Available in the Rackspace Class Action Lawsuit?

In a securities class action like the Rackspace class action lawsuit, there are various types of damages that may be available to the plaintiffs. These damages are designed to compensate investors who have suffered financial losses as a result of securities fraud or other violations of securities laws. One type of damages that may be awarded is compensatory damages, which are intended to reimburse the plaintiffs for their actual financial losses.

This can include the difference between the purchase price of the securities and their actual value at the time of purchase. In addition to compensatory damages, plaintiffs may also be eligible for punitive damages, which are meant to punish the defendants for their misconduct and deter others from engaging in similar behavior. However, it is important to note that the availability and amount of damages can vary depending on the specific facts and circumstances of each case.

5. How Is the Greatest Financial Interest Determined Under the Private Securities Litigation Reform Act of 1995?

6. Does It Cost to Participate in the Rackspace Class Action Lawsuit?

The duration of a securities class action like the can vary significantly depending on a number of factors. One of the key factors is the complexity of the case itself. More complex cases involving multiple defendants, intricate legal issues, or extensive discovery can take longer to resolve. Additionally, the size of the class and the number of individual claims involved can also impact the timeline.

The court’s schedule and any potential delays, such as appeals, can further prolong the resolution process. On average, securities class actions can take anywhere from several months to several years to reach a resolution, with some cases even stretching beyond a decade. It is crucial for all parties involved to be prepared for a potentially lengthy litigation process and to work closely with experienced legal counsel throughout.

9. What Is the Class Period in a Securities Class Action Such as the Rackspace Class Action Lawsuit?

In a securities class action, the class period refers to the specific time frame during which the alleged fraudulent activity occurred. It is the period in which the plaintiffs claim to have suffered financial losses due to misrepresentations or omissions made by the defendants. The class period is crucial in determining who can be included in the class and seek damages.

It typically starts when the alleged fraud was first publicly disclosed or when investors should have reasonably become aware of it. The class period usually ends when the alleged fraud was revealed to the public or when the plaintiffs filed a lawsuit. The length of the class period can vary depending on the specific circumstances of each case.