The legal scrutiny centers on whether FICO executives downplayed the risk of losing market share to competitors like VantageScore 4.0. During an April 2026 earnings call, CEO William J. Lansing dismissed concerns that Vantage would capture meaningful share in the conforming mortgage market. He reiterated this skepticism during a May 2026 Barclays conference, questioning whether the rival model would gain any traction even if approved.

These public statements clashed with the market's reaction following the Federal Housing Finance Agency’s decision to simplify mortgage pricing and integrate alternative scoring models. Within hours of the agency's announcement, Rocket Mortgage confirmed it would adopt VantageScore 4.0 as its preferred model. The subsequent sell-off erased over a quarter of FICO’s market value by midday on September 29, 2026. Levi & Korsinsky is now evaluating claims for both current and former shareholders who suffered financial losses tied to the decline, focusing on the accuracy of management’s disclosures regarding regulatory risks.