WEBTOON $10.05M Securities Class Action Settlement, Who Qualifies, How Payments Are Calculated and How to File by December 14, 2026

If you bought WEBTOON Entertainment stock in or traceable to its June 27, 2024 IPO, you may be able to claim a share of a $10,050,000 settlement. The deadline to submit a claim is December 14, 2026. This is a securities case, so there is no flat payment. What you get depends on when you bought, what you paid, whether you sold, and how many other investors file.

You also need paperwork. The claim form requires brokerage records for every transaction you list, so start gathering them now.

Official settlement website: WEBTOONSecuritiesSettlement.com File your claim online: WEBTOON Claim Filing Portal

The court has granted preliminary approval, but the settlement is not yet final. All defendants deny wrongdoing.

WEBTOON Securities Settlement: Quick Facts

Detail	Information
Case name	Coy Brookman v. WEBTOON Entertainment Inc., et al.
Court	U.S. District Court, Central District of California, Western Division (Judge Consuelo B. Marshall)
Case number	2:24-cv-07553-CBM-RAO
Settlement amount	$10,050,000 in cash
Who is covered	Anyone who bought or otherwise acquired WEBTOON common stock pursuant or traceable to the registration statement for the June 27, 2024 IPO
Estimated average recovery	About $0.45 per eligible share before fees, expenses, taxes, and administration costs
Official settlement website	WEBTOONSecuritiesSettlement.com
Claim form	File online or download the Proof of Claim (PDF)
Official notice	Court-Approved Notice (PDF)
Court documents	Court Documents page
Claim required	Yes, with brokerage documentation
Claim deadline	December 14, 2026 (postmarked if mailed, or submitted online)
Exclusion deadline	Received by November 10, 2026
Objection deadline	Received by November 10, 2026
Settlement hearing	December 1, 2026, 10:00 a.m., Courtroom 8D, Los Angeles (court may hold it by video or phone)
Lead counsel	Robbins Geller Rudman & Dowd LLP
Claims administrator	Verita Global
Phone	1-888-808-1914
Status	Preliminary approval granted August 14, 2026; final approval pending
Do defendants admit wrongdoing	No

What the WEBTOON Securities Lawsuit Is About

WEBTOON is a global digital storytelling platform that distributes comics and serialized content. The company was founded in Korea in 2005 and went public on June 27, 2024.

Investors sued on September 5, 2024. The lead plaintiff, Dr. Byung-Gon Sung, alleges the registration statement for the IPO contained materially false and misleading statements and omissions about the company’s growth and revenue trends. He says the stock price fell sharply after the IPO as a result and that investors lost money. The complaint asserts claims under Section 11 of the Securities Act of 1933, which covers misleading registration statements, and Section 15, which covers people who control the company.

The defendants are WEBTOON, its individual officers and directors (Junkoo Kim, David J. Lee, Haejin Lee, Namsun Kim, Jun Masuda, Isabelle Winkles, and Nancy Dubuc), and the IPO underwriters: Goldman Sachs & Co. LLC, Morgan Stanley & Co. LLC, J.P. Morgan Securities LLC, Evercore Group L.L.C., Deutsche Bank Securities Inc., UBS Securities LLC, HSBC Securities (USA) Inc., Raymond James & Associates, Inc., and LionTree Advisors LLC.

All defendants deny wrongdoing and deny that class members suffered damages. The court has not ruled for either side. The settlement is not an admission of liability and not a finding that anyone violated securities law. It is a compromise that avoids the cost and risk of continued litigation.

Timeline of the WEBTOON securities case

Date	What happened
June 27, 2024	WEBTOON IPO
September 5, 2024	First class action complaint filed
December 16, 2024	Court appoints Dr. Byung-Gon Sung as lead plaintiff and Robbins Geller as lead counsel
February 3, 2025	Consolidated complaint filed
December 2, 2025	Court grants in part and denies in part the motion to dismiss
June 30, 2026	Mediation with mediator David Murphy; the parties reach agreement on $10.05 million
August 7, 2026	Stipulation and Agreement of Settlement signed
August 14, 2026	Court grants preliminary approval and orders notice to the class
October 27, 2026	Lead counsel’s fee and expense motion due
November 10, 2026	Exclusion and objection requests must be received
December 1, 2026	Settlement hearing on final approval
December 14, 2026	Claim deadline

As of October 7, 2026, that leaves 34 days to exclude yourself or object and 68 days to file a claim.

Who Qualifies for the WEBTOON Securities Settlement

The settlement class includes all persons and entities who purchased or otherwise acquired WEBTOON common stock pursuant or traceable to the registration statement issued in connection with the June 27, 2024 IPO.

Excluded are the defendants, the company’s officers and directors at all relevant times, their immediate family members and legal representatives, heirs, successors, or assigns, and any entity in which the defendants have or had a controlling interest. Any “Investment Vehicle” is not excluded. Anyone who validly opts out is also outside the class.

Buying WEBTOON stock does not by itself guarantee a payment. Only class members who were damaged and who submit a timely, valid claim can share in the distribution. The notice warns that getting a notice or postcard does not mean you are a class member or are entitled to payment.

Which purchases count

According to the claim form, only WEBTOON stock purchased in the IPO or on the open market from June 27, 2024 through September 5, 2024 is potentially eligible. The form also asks for purchases and sales through June 30, 2026, but the notice says those are collected so claims can be calculated accurately. If you only bought after September 5, 2024, the claim form’s eligible purchase period does not include you.

If you hold WEBTOON shares through an employer retirement or benefit plan, the notice says not to include those shares on your claim. The plan’s trustees can claim for them.

Do You Need Brokerage Records?

Yes, and this is one of the most important details. The Proof of Claim requires genuine and sufficient documentation for every transaction and holding you list. Acceptable documentation includes:

• Brokerage confirmation slips
• Monthly brokerage account statements
• A signed statement from your broker showing the transactions and holdings

Neither the parties nor the administrator have your trading history. Do not send originals, do not highlight anything, and keep copies of what you submit. Missing documentation can get your claim rejected, so request historical records from your broker early.

How Much Can You Get From the WEBTOON Settlement?

Nobody can say yet. The notice states that it is not possible to determine how much any individual will receive.

The notice gives one number to work with: assuming every eligible investor files, the average recovery is approximately $0.45 per eligible share before deductions. If the court approves the maximum fees and expenses, the notice estimates they will cost about $0.12 per share. That is an average, not a guarantee. Your amount depends on:

• When and at what price you bought
• Whether you sold, and when
• The total number and value of valid claims filed
• Administration costs
• The attorneys’ fees and expenses the court awards

Where the $10.05 million goes

The settlement fund is reduced by taxes, notice and administration costs, court-awarded attorneys’ fees and litigation expenses, and any other court-approved costs. What remains is the Net Settlement Fund, which is split among investors with valid claims.

Lead counsel say they will ask for attorneys’ fees of up to 25% of the settlement fund and litigation expenses of up to $200,000, plus interest. The court decides the actual amounts. Class members are not personally liable for those fees.

Our arithmetic: 25% of $10,050,000 is up to $2,512,500 in fees. Adding the $200,000 expense cap puts the maximum request at about $2,712,500, which would leave roughly $7,337,500 before taxes and administration costs. The notice does not state those latter costs.

The plan of allocation: how each claim is calculated

The proposed plan uses the formula from Section 11(e) of the Securities Act. For each eligible purchase, the plan calculates a “Recognized Loss Amount” per share. The purchase price used cannot exceed $21.00 per share, and $12.27 is the closing price on September 5, 2024, the day the first complaint was filed.

If you…	Your claim per share is…
Sold from June 27, 2024 through September 5, 2024	Purchase price (capped at $21.00) minus your sale price
Sold from September 6, 2024 through June 30, 2026	Purchase price (capped at $21.00) minus the greater of your sale price or $12.27
Still held your shares at the end of June 30, 2026	Purchase price (capped at $21.00) minus $12.27

If the result is zero or negative, the claim for that purchase is zero. Short sales do not count, and neither do options on WEBTOON stock. Only the common stock is eligible.

Illustration based on the formula: an investor who bought at the $21.00 IPO price and still held on June 30, 2026 would have a recognized loss of 8.73pershare(21.00 minus $12.27). An investor who bought on the open market at $18.00 and held would have $5.73 per share. These are not payouts. They are the weights used to divide the fund.

Each approved claimant’s payment is their Recognized Claim divided by the total of all approved Recognized Claims, multiplied by the Net Settlement Fund. Anyone whose payment would calculate to less than $10.00 gets nothing, and that money goes back into the pool for others. Distributions are rounded to the nearest cent.

If money is left after at least six months from the first distribution (for example, uncashed checks), the administrator will redistribute it where feasible. Once that is no longer economical, the remainder goes to nonprofit 501(c)(3) organizations recommended by lead counsel.

The court may modify the plan or approve a different one without further notice. Approval of the settlement is separate from approval of the plan.

How to File a WEBTOON Securities Settlement Claim

1. Gather your records. You need brokerage confirmation slips, monthly brokerage statements, or a signed statement from your broker showing every transaction.
2. List your holdings and trades. The form asks for your holdings as of the opening of trading on June 27, 2024, every purchase and acquisition from June 27, 2024 through June 30, 2026, every sale in that window, and your holdings at the close of June 30, 2026. Report all of them, whether they made or lost money. Leaving transactions out can get the claim rejected.
3. Submit by December 14, 2026. File online through the claim portal, or mail the form first class, postmarked on or before that date, to: WEBTOON Securities Settlement, Claims Administrator, c/o Verita Global, P.O. Box 301135, Los Angeles, CA 90030-1135. A mailed form counts as submitted on its postmark date if it is mailed first class and addressed correctly.
4. Watch for the acknowledgment. The administrator mails an acknowledgment postcard within 60 days. Under the form’s checklist, your claim is not deemed filed until you receive it. If it does not arrive in 60 days, call 1-888-808-1914.

A few rules to know:

• File one claim per legal entity. Joint owners file together and each must sign. An IRA or other separate account needs its own form rather than being combined with your personal account.
• The beneficial owner, not the brokerage firm that holds shares in street name, signs the form.
• Large filers with many transactions may need to send electronic files and a signed paper form. Those filers can email [email protected].
• You sign under penalty of perjury, you agree to the release, and you agree the court decides the validity and amount of your claim.

Your Options: Claim, Exclude Yourself, Object or Do Nothing

Option	What happens	Deadline
Submit a claim	The only way to receive money; you also release the covered claims	December 14, 2026
Exclude yourself	No payment; you keep the right to sue on your own	Received by November 10, 2026
Object	You stay in the class and tell the court what you dislike	Received by November 10, 2026
Do nothing	No payment, and you give up the right to sue over the released claims	n/a

How to exclude yourself

Send a letter to WEBTOON Securities Settlement, c/o Verita Global, EXCLUSIONS, P.O. Box 5100, Larkspur, CA 94977-5100, so it is received by November 10, 2026. The letter must include your name, address, email, and phone number, a statement that you request exclusion from the settlement class in Brookman v. WEBTOON Entertainment Inc., Case No. 2:24-cv-07553-CBM-RAO, the number of shares you owned at the opening of trading on June 27, 2024, and details of every purchase, acquisition, and sale, with dates, share counts, and prices. It must be signed. The defendants can terminate the settlement if too many valid exclusion requests come in. Because opting out has legal consequences, consider talking to your own attorney first.

How to object

If you stay in the class, you can tell the court what you dislike about the settlement, the plan of allocation, or the fee request. File your written objection with the court and serve copies on lead counsel (Ellen Gusikoff Stewart, Robbins Geller Rudman & Dowd LLP, 655 West Broadway, Suite 1900, San Diego, CA 92101) and on defendants’ counsel (Kirkland & Ellis LLP, Attn: Austin Norris, 2049 Century Park East, Suite 3700, Los Angeles, CA 90067, and Gibson, Dunn & Crutcher LLP, Attn: Jessica Valenzuela, 310 University Avenue, Palo Alto, CA 94301) by November 10, 2026.

The objection must include your contact information, the specific grounds, proof of class membership such as brokerage statements, your WEBTOON holdings and transactions, and a list of any class settlements you or your lawyer have objected to before. If you want to speak at the hearing, say so in your objection or send a separate letter that is received by the same date. You cannot object if you excluded yourself, and objecting does not exclude you from the settlement.

What the release covers

Unless you exclude yourself, you release all claims that were or could have been brought arising from the same facts and relating to your purchase, holding, or sale of WEBTOON stock traceable to the IPO registration statement, including claims you do not know about. This is true whether or not you file a claim. The release does not cover claims to enforce the settlement or the separate shareholder derivative cases Cheung v. Kim (2:24-cv-09915) and Lee v. Kim (2:26-cv-04824), or similar derivative actions on behalf of WEBTOON. Read the full release in the notice before you decide.

When Will WEBTOON Settlement Payments Be Sent?

Not soon. Payments go out only after the court grants final approval, all claims are processed, and any appeals are resolved. There is no payment date.

The settlement hearing is December 1, 2026 at 10:00 a.m. before Judge Consuelo B. Marshall at the Felicitas and Gonzalo Mendez United States Courthouse, 350 W. 1st Street, Courtroom 8D, Los Angeles. The court can change the date or hold it by video or phone without sending another notice, so check the settlement website. The court will consider whether the settlement is fair, reasonable, and adequate, the plan of allocation, and the fee and expense request. You do not have to attend to take part in the settlement.

Common Mix-Ups to Avoid

• The $0.45 figure is an estimated average before deductions, not a payment per share.
• The $10.05 million is not split equally. Fees, expenses, taxes, and administration costs come out first.
• You do not have to still own WEBTOON stock, but your transactions must fall in the eligible periods.
• Purchases after September 5, 2024 are not eligible for recovery.
• A claim that calculates to zero, or to under $10.00, earns no payment.
• The exclusion and objection deadline (November 10) is different from the claim deadline (December 14).

WEBTOON Securities Settlement FAQ

How much is the settlement? 

$10,050,000 in cash. The money available to investors is the Net Settlement Fund after approved deductions.

Who qualifies? 

People and entities who bought or acquired WEBTOON common stock pursuant or traceable to the June 27, 2024 IPO registration statement, subject to the exclusions and the plan of allocation.

What if I no longer own WEBTOON stock? 

You may still qualify. Eligibility depends on your transaction history in the eligible periods, not on whether you currently own shares.

I bought in the IPO and later sold. Can I still claim?

 Possibly. The formula calculates a Recognized Loss Amount based on your purchases and sales. If you sold at a profit or the result is zero or negative, the claim has no value.

I sold my shares at a profit. Should I still list them? 

The form tells you to report all transactions, whether they produced a profit or a loss. A claim that calculates to zero or less does not earn a payment.

What if I bought after September 5, 2024? 

The claim form’s eligible purchase period ends September 5, 2024. Later purchases are collected only to balance the calculations.

Do I need brokerage records?

 Yes. Confirmations, monthly statements, or a signed broker statement are required for every transaction you list.

Do I have to hire a lawyer? 

No. Robbins Geller Rudman & Dowd LLP serves as lead counsel and is paid from the settlement fund if the court approves. You can hire your own lawyer at your own expense.

I hold WEBTOON through a broker. Who files? 

You do, as the beneficial owner. Your broker is the record owner and should not sign.

I bought for other people. What do I do?

 Nominees must, within ten days of receiving the notice, either request postcard notices to forward to beneficial owners or send the administrator a list of names, addresses, and emails. They can seek reimbursement of reasonable expenses, capped at $0.03 plus postage per postcard mailed or $0.03 per name provided.

What if I do not get a postcard? 

You can download the notice and claim form from the website, or request them by calling 1-888-808-1914 or emailing the claims administrator.

What if I do nothing?

 You get no payment, but you can still be bound by the settlement’s release if it is finally approved.

Is the settlement final?

 No. The court granted preliminary approval on August 14, 2026, and the final hearing is December 1, 2026.

When will checks be mailed?

 No date has been announced.

Who do I contact with questions? 

The claims administrator at 1-888-808-1914, or lead counsel at 1-800-449-4900 or [email protected]. Do not contact the court, the defendants, or defendants’ counsel.

What to Do Before December 14, 2026

1. Request your historical brokerage statements or confirmations for WEBTOON.
2. List every purchase, acquisition, and sale from June 27, 2024 through June 30, 2026, plus your holdings on June 27, 2024 and June 30, 2026.
3. Check which purchases fall in the eligible period (through September 5, 2024).
4. Complete and sign the claim form as the beneficial owner, and attach copies of your documents.
5. Submit online or mail it first class, postmarked by December 14, 2026.
6. Watch for the acknowledgment postcard and keep copies of everything.

Bottom Line

The WEBTOON securities settlement provides $10.05 million in cash for investors who bought or acquired WEBTOON stock in or traceable to its June 27, 2024 IPO. There is no flat payment: each investor’s share depends on a pro rata formula applied to documented transactions, and the notice estimates an average of about $0.45 per eligible share before deductions. You must file a claim with brokerage records by December 14, 2026. To exclude yourself or object, act by November 10, 2026. The final approval hearing is December 1, 2026, and the settlement is not yet final.

Official settlement website: WEBTOONSecuritiesSettlement.com File your claim online: WEBTOON Claim Filing Portal

Related Securities Settlements

For other IPO-related investor cases, see our coverage of the DiDi Global $740M Class Action Settlement, Status, Eligibility & Payout and the ChargePoint $11 Million Securities Settlement, What Investors Need to Know.

Update Log

Date	Update
October 7, 2026	Article published. Claim period open through December 14, 2026.

Sources

1. Notice of (I) Pendency of Class Action and Proposed Settlement; (II) Settlement Hearing; and (III) Motion for Attorneys’ Fees and Litigation Expenses, Brookman v. WEBTOON Entertainment Inc., No. 2:24-cv-07553-CBM-RAO (C.D. Cal.), dated August 14, 2026: https://www.webtoonsecuritiessettlement.com/media/7358421/v7_wbtn_notice_091526_final.pdf
2. Proof of Claim and Release Form (official settlement website): https://www.webtoonsecuritiessettlement.com/media/7352278/wbtn_pocgi_poc_final_web.pdf
3. WEBTOON Securities Settlement official website, home page: https://www.webtoonsecuritiessettlement.com/
4. Court Documents page, official settlement website (lists the Stipulation and Agreement of Settlement and the Order Preliminarily Approving Settlement): https://www.webtoonsecuritiessettlement.com/court-documents.aspx
5. Contact Us page, official settlement website: https://www.webtoonsecuritiessettlement.com/contact-us.aspx

This article is general information, not legal or investment advice, and AllAboutLawyer.com is not a law firm. Figures and dates come from the court-authorized notice, the Proof of Claim, and the official settlement website as of October 7, 2026. The settlement remains subject to final court approval. Confirm deadlines with the claims administrator before filing.

Researched and written by Israr Ahmad, legal content researcher and founder of AllAboutLawyer.com. Last updated October 7, 2026.