What is a class action?
A class action is a type of lawsuit in which one person, usually the “lead plaintiff,” represents everyone who suffered similar harm from the defendant’s unlawful conduct. Many different people combine their similar complaints to save court time, allowing a single judge to hear all the concerns at the same time, and come to one settlement for all parties. If the court agrees to certify the complaints as a class action, all class members should have equal say and rights to any monies or remedies ordered by the court.
Class action lawsuits often are filed when it would be impractical or prohibitively expensive for each person who was harmed to file an individual lawsuit. They enable small shareholders or consumers to seek recovery from large corporations possessing much greater legal and financial resources.
Generally, securities class actions are filed in the federal district courts and allege that the defendant(s) violated the Securities Act of 1933 and/or the anti-fraud provisions of the Securities Exchange Act of 1934. The typical class action takes at least 2-3 years to litigate, although the actual time it takes to resolve a case varies, depending on the complexity of the case, the issues involved and other factors.
What is a class period?
A class period is a specific time period during which the unlawful conduct is alleged to have occurred. For example, in a securities class action, anyone who acquired securities of the defendant company during the class period is a member of the class and eligible to participate in any recovery, if we are successful. Although the initial complaint will specify a certain class period, the class period may be expanded to encompass a longer period of time.
Who is eligible to participate in the recovery?
To participate in the recovery, your overall investment in the stock during the class period must have resulted in a loss. You may sell your stock at any time and still participate in the recovery, so long as your overall investment resulted in a loss.
What is a lead plaintiff?
Near the beginning of a securities fraud case, the court appoints a lead plaintiff to prosecute the lawsuit on behalf of the members of the class. An individual plaintiff, a group of individuals or other entity – an investment fund, for example – can serve as lead plaintiff. The court usually appoints the class member with the largest financial interest in the recovery sought by the class to serve as the lead plaintiff.
What is a lead counsel?
The federal securities laws require public notice to be published within 20 days after a securities fraud class action lawsuit is filed, alerting investors that the lawsuit has been filed and that class members have 90 days to request the court for appointment as Lead Plaintiff. In addition to representing the class, the lead plaintiff plays a crucial role in selecting the court-appointed lead counsel, and is encouraged to consult with lead counsel concerning the course of the litigation. By seeking lead plaintiff status, and choosing skilled, experienced counsel to represent the class, an individual class member may significantly affect the likelihood of the lawsuit's success and the size of any eventual recovery.
How do I sign up to be a potential lead plaintiff?
The requirement to participate as a potential lead plaintiff is simple: Either submit your contact information on our website, email us at email@example.com, or contact us at (310) 201-9150 to acquire a Certification Form, which you can return to Glancy Binkow & Goldberg LLP by fax at (310) 201-9160 or by mail at 1925 Century Park East, Suit 2100, Los Angeles, CA 90067.
What is a Certification Form?
The purpose of a Certification Form is for shareholders to officially certify that they purchased X number of shares on X date(s), and that they are not fabricating the information.
What is the benefit of being a lead plaintiff?
Regarding the benefits, a lead plaintiff has more involvement in a suit. They are better informed with how the case is progressing, and in some instances thay have a voice in determining how the suit is litigated. Also, when a settlement offer is made, the lead plaintiff is the first to be asked if the settlement is reasonable. And finally, on certain occasions, the court will reward the lead plaintiff with an incentive.
I noticed there are several law firms announcing similar lawsuits. What is the difference between all these lawsuits?
It is likely that the other law firms are simply announcing the same lawsuit in order to attract shareholders as they prepare to move for lead plaintiff. The court will appoint lead counsel, and once chosen the lead counsel will represent all shareholders automatically.
Why should I choose you?
We have an impressive track record. We have recovered in excess of $1 billion for parties wronged by corporate fraud and wrongdoing. We're confident in this case, we're putting up dollars to file this case, and we expect to win.
What are the costs and expenses for me?
Glancy Binkow & Goldberg almost always works on a contingent fee basis, where we advance all costs and expenses of the lawsuit. If we are successful, we will ask the Court to grant us reimbursement of those out-of-pocket costs and expenses plus attorneys' fees, which are usually a percentage of the recovery. If we are not successful in a contingent litigation, you owe us nothing. (In the rare case that your litigation is not contingent, we will discuss how we are paid, and who pays costs and expenses, and your retainer agreement will set forth all of those provisions.)