Class action launched against Woolworths

Maurice Blackburn alleges Woolworths breached the law by failing to tell shareholders it was behind on profit forecasts in late 2014 and early 2015.

A class action has been launched against Woolworths over its profit guidance downgrade in 2015. (AAP)

Legal firm Maurice Blackburn plans to launch a $100 million class action against Woolworths over its profit guidance downgrade in 2015.

Maurice Blackburn has opened an online portal for "aggrieved shareholders" to join the action against the retail giant accusing it of breaching the Corporations Act by failing to make a timely and accurate market disclosure.

The lawyers allege Woolworths knew it was significantly behind on its profit projections in October 2014, but continued to maintain guidance until its half-year earnings were reported in February 2015 with the shock announcement prompting a near 14 per cent fall in the share price.