Endava Executives Face Personal Liability in Securities Class Action

The litigation, filed in the U.S. District Court for the Southern District of New York, covers investors who purchased Endava securities between September 4, 2025, and September 21, 2026. The legal action follows a sharp 24.37% decline in the company’s share price on September 22, 2026, triggered by the announcement that CFO Mark Thurston had been placed on administrative leave. That move followed an investigation by independent counsel into the accounting treatment of specific customer and supplier agreements.

The lawsuit asserts that both Cotterell and Thurston bore personal responsibility under Section 20(a) of the Securities Exchange Act. Plaintiffs argue that the executives signed off on financial reports claiming effective internal controls, despite allegedly knowing that certain agreements required additional scrutiny. This failure to disclose internal accounting concerns eventually led to delays in the company’s fourth-quarter and full-year 2026 financial results. Attorney Joseph E. Levi noted that the proceedings will specifically examine whether these officers can be held personally accountable for investor losses stemming from the discrepancy between their public assurances and the subsequent audit findings.