Cava Group’s founders, board members, and financial backers face a shareholder derivative lawsuit alleging $2.2 billion in insider trading. A pension fund filed the complaint in Delaware Chancery Court, which was unsealed on July 28, 2026.
The lawsuit claims the defendants sold their shares at artificially inflated prices. Insiders allegedly achieved these valuations by promoting a misleading narrative about the company's growth prospects to the public.
The legal action specifically names affiliates of Belgian billionaire Eric Wittouck and trusts connected to co-founder Ronald Shaich. These entities allegedly sold substantial amounts of stock between August 2024 and March 2025.
The suit seeks to recover the profits from these sales for the benefit of the company. Ordinary stockholders reportedly suffered the consequences while insiders dumped billions of dollars in stock.