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U.S. legal question: Is there anything unlawful about offering to cover legal fees for everyone wanting to pursue good-faith legal recourse (including arbitrat
by DoofusOfDeath 6y ago
U.S. legal question:
Is there anything unlawful about offering to cover legal fees for everyone wanting to pursue good-faith legal recourse (including arbitration) against a particular company?
For example, suppose I'm a mega-billionaire who simply finds Facebook's conduct abhorrent. So I offer to pay for the Binding Arbitration fees of every Facebook user who has a plausible claim against Facebook.
And would the legality of that change if I was majority stakeholder in one of Facebook's competitors?
- gruez 6y agoprobably violates: https://en.wikipedia.org/wiki/Champerty_and_maintenance https://en.wikipedia.org/wiki/Champerty_and_maintenance, although I'm not sure whether it's applicable for the US.
- justinclift 6y agoInteresting. That page does have a "US" section though, which makes it seem possible in much of the country: https://en.wikipedia.org/wiki/Champerty_and_maintenance#United_States https://en.wikipedia.org/wiki/Champerty_and_maintenance#Unit...
- siberianbear 6y agoI'm not a lawyer. But I think this is pretty much what happened when Peter Thiel funded lawsuits against Gawker until one of them bankrupted them. https://www.thewrap.com/silicon-valley-billionaire-peter-thiel-named-as-secret-funder-of-hulk-hogan-lawsuit-against-gawker/ https://www.thewrap.com/silicon-valley-billionaire-peter-thi...