February 25, 2019

Risk and Reward: The Securities Fraud Class Action Lottery

Though intended to be a check against bad behavior from public corporations, securities fraud class action lawsuits are becoming a simple game of chance for the plaintiffs’ bar. Some plaintiffs’ lawyers are partnering with individual shareholders to target large companies with numerous class actions on frequently weak merits, weighing the comparatively low costs of filing suit against the potential for “mega-settlements.” By identifying cases with “mega-settlement” potential, and winning the right to serve as lead counsel in those cases, plaintiffs’ firms are turning what is meant to be a valuable corrective mechanism in the American legal system into yet another lawsuit income stream.

View PDF
News ILR and the U.S. Chamber of Commerce Foundation Partner with Howard Law School for New Fellowship, Scholarships Other Issues News Judge Blocks Prop 65 Lawsuits Citing 'Unresolved Scientific Debate' Class Action Litigation News Asbestos Lawyer Who Was Prevented From Practicing In Iowa Is Now Trying To Practice In South Carolina News In The News Today-April 7, 2021 Third Party Litigation Funding (TPLF) News Opinion: WV Intermediate Appellate Court Will Benefit The Mountain State Other Issues
We Use Cookies to Make your Experience Better

What do we use cookies for?

We use cookies and similar technologies to recognize your repeat visits and preferences, as well as to measure the effectiveness of campaigns and analyze traffic. To learn more about cookies, including how to disable them, view our Cookie Policy. By clicking "I Accept" or "X" on this banner, or using our site, you consent to the use of cookies unless you have disabled them.