4 ms·
>the lawyers who managed the case (sometimes for years!) take most of the payout This meme is part of the problem. The lawyers take maybe a third of the settle
by stult 9y ago
>the lawyers who managed the case (sometimes for years!) take most of the payout
This meme is part of the problem. The lawyers take maybe a third of the settlement, after bearing most of the costs of litigation themselves, which they would still bear if they lost. It's high risk/high reward. Lowering the reward just means no lawyer will take the case.
- maxerickson 9y agoQuibbling over "most" is beside the point. There is a real issue where the incentives for the lawyers don't line up well with the interests of the class. The lawyers likely do pretty well if they settle a huge case for tens of millions and the main thing that happens for the class is they can't file a lawsuit anymore. The financial penalty for the company is better than nothing, but it often isn't all that much and often doesn't do the class any real good either.