MongoDB Inc

The information required to be set forth under this Item 1 is incorporated by reference to Note 7, Commitments and Contingencies of the Notes to Condensed Consolidated Financial Statements included in this Form 10-Q.

On July 9, 2024, a putative class action lawsuit, captioned Baxter v. MongoDB, Inc., et al., was filed in the United States District Court for the Southern District of New York against MongoDB, CEO Dev Ittycheria, and COO and CFO Michael Gordon. The lawsuit (the “Securities Action”) asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act, and alleges that defendants made material misstatements and/or omissions, including regarding MongoDB’s sales strategy and its financial results. The complaint is purportedly brought on behalf of a putative class of persons who purchased or otherwise acquired MongoDB common stock between August 31, 2023 and May 30, 2024. It seeks unspecified monetary damages, costs and attorneys’ fees, and other unspecified relief. We intend to vigorously defend ourselves in this matter.

On October 7, 2024, a purported shareholder derivative lawsuit was filed in the United States District Court for the Southern District of New York against MongoDB, as nominal defendant, and CEO Dev Ittycheria, COO and CFO Michael Gordon, and several of MongoDB’s current and former directors. The case is captioned Roy v. Ittycheria et al. The lawsuit alleges that the individual defendants breached their fiduciary duties and committed other alleged misconduct in connection with the statements at issue in the Securities Action and by causing MongoDB to issue allegedly false and misleading statements to investors. The plaintiff seeks unspecified damages and/or restitution on behalf of MongoDB, as well a declaration that the individual defendants have breached and/or aided and abetted breaches of their fiduciary duty to MongoDB, and certain changes to MongoDB’s corporate governance and internal controls. Similar cases were subsequently filed in the same district (together with Roy v. Ittycheria, et al., (the “Derivative Litigations”). The Derivative Litigations are at an early stage; the Roy matter has been stayed, pending the outcome of the Court's decision on the defendants' anticipated motion to dismiss the Securities Action, and defendants have not yet been served in the other Derivative Litigations.

From time to time, we may be subject to other legal proceedings and claims in the ordinary course of business.

Future litigation may be necessary to defend ourselves, our partners and our customers by determining the scope, enforceability and validity of third-party proprietary rights, or to establish our proprietary rights. The results of any current or future litigation cannot be predicted with certainty and, regardless of the outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion of management resources and other factors.