When are key litigation milestones (e.g., discovery deadlines, motions) that could create volatility or affect market perception?

Litigation calendar – what to watch

The complaint against Flywire was filed on Sept. 2, 2025. Under the federal rules the company will have 20 days (plus any extensions) to file its answer or a motion to dismiss, so the first “litigation‑risk” event will likely occur mid‑September. Most shareholder‑class actions then enter a discovery phase that typically runs 120‑150 days after service of the answer, putting the initial discovery cutoff around **late‑January to early‑February 2026. After discovery, the parties usually file motion‑practice (e.g., motions for summary judgment, motions to compel) within the next 2‑3 months, so expect key motion deadlines in March‑April 2026. A trial date—if the case does not settle—will generally be set 6‑12 months after the final motion; the earliest likely trial window is summer 2026.

Trading implications

The market has already priced in a negative sentiment (‑70 sentiment score) and the stock is likely under pressure now. Expect short‑term volatility spikes around the answer‑filing deadline (mid‑Sept 2025) and the discovery cutoff (Jan‑Feb 2026) as investors digest the scope of alleged misconduct and any preliminary disclosures the company may make in an 8‑K. Watch for SEC filings, court docket alerts, or press releases that signal a settlement push; a settlement announcement would typically trigger a rapid bounce, whereas a motion‑to‑dismiss or adverse discovery findings can drive the stock lower. For traders, a tight‑range, high‑beta play using out‑of‑the‑money puts (e.g., 30‑day 5‑10% OTM) through the September‑October window can capture the initial risk, while selling near‑term call spreads (e.g., 30‑day 10‑15% OTM calls) can collect premium if the stock stabilizes after the answer is filed. Keep a close eye on the NASDAQ FLYW ticker’s options open interest and implied volatility as each litigation milestone approaches.