4 ms·

Could we see a class action? Is there a case?

• moolcool 6y ago
  https://twitter.com/Phil_Lewis_/status/1354839676482367488 https://twitter.com/Phil_Lewis_/status/1354839676482367488
• jandrese 6y ago
  The class action has already been filed against Robinhood. It remains to be seen if it gets any traction.
  • elliekelly 6y ago
    It won't. Everyone who has an account at RH has contractually agreed not to bring or participate in a class action suit and has contractually agreed to arbitration.
• jcranmer 6y ago
  The case appears to be filed here: https://www.courtlistener.com/docket/50143052/nelson-v-robinhood-financial-llc/ https://www.courtlistener.com/docket/50143052/nelson-v-robin... Scanning the complaint quickly... it's not a strong case. The problem plaintiffs have is that the contract they signed lets Robinhood essentially refuse to trade if it wants to. In order to defeat that, you're going to have to argue that those contract provisions violate federal law and are therefore unenforceable. That's not really want the complaint does. Instead, it seems to argue that Robinhood's error was in failing to allow trades in GME in the first place, not in the reasoning for its failings. (At least they actually allege enough of this to potentially get discovery, which is better than some other complaints I've seen recently).