Class Actions > Frequently Asked Questions

What is a Class Action? 
A class action suit begins when many different people combine their similar complaints into one case. One person, known as the “Lead Plaintiff,” represents everyone who suffered similar harm from the defendant’s unlawful conduct. The typical class action takes at least 2-3 years to litigate, although the time to settle the case varies depending on its complexity, the issues involved, etc.

Instituting a class action law suit enables small shareholders or consumers to seek recovery from large corporations possessing much greater legal and financial resources.  The class action format saves litigation time and allows a single judge to hear all the concerns at once and creates one settlement for all parties. If the court agrees to certify the complaints as a class action, all class members usually have equal say and rights to any monies or remedies ordered by the court.

What is a Lead Plaintiff? 
Near the beginning of a case, the court appoints a Lead Plaintiff to prosecute the lawsuit on behalf of the members of the Class. An individual, a group of individuals or even an 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. The federal securities laws Federal law requires that public notice 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 interested in the Lead Plaintiff role have 90 days to request the court for appointment.

What is a Lead Counsel? 
Similar to a lead plaintiff, a Lead Counsel is the court-appointed attorney selected to represent the class.

What is the Class Period?
The Class Period is the specific time period during which the unlawful conduct is alleged to have occurred. Members of a class are individuals or entities which performed the specified activities during a specific calendar period of time.

Who is eligible to participate in the Recovery?
To be eligible to participate in the recovery your overall investment during the class period must have resulted in a loss. Even if you sold the stock in question, you may still participate in the recovery so long as your overall investment resulted in a loss.

What do I do if I am interested in being a potential Lead Plaintiff?  
The first step if you are interested in being selected as the Lead Plaintiff is simple: Contact Jeffrey Squire at squire@bragarwexler.com  and let him know of your interest. He will discuss the responsibilities with you and, if appropriate, guide you through the rest of the requirements.

What will it cost me? 
Law firms prosecuting on behalf of the Class usually advance costs and expenses. Our firm works on a contingent fee basis. This means that – only if we are successful – do we ask the court to reimburse our out-of-pocket expenses and attorneys’ fees.