Stephen Becker Automobile group Inc files suit against Shelby American Inc

[REAL 1]

Originally Posted by Tommy

Forgive the tangent, but I recently received notice that I was an aggrieved party in a class action suit. All I had to do was take a trip to the courthouse, pay some copying fees, get some documents notarized, and mail it all in to receive my $48 share of a multi-million dollar lawsuit against some deep pocketed corporation. Of course the attorneys representing me and the thousands of other parties were taking the lion's share of the payment. I decided it wasn't worth the effort ..... for me.

Class Action suits serve the primary purpose of providing a strong disincentive to corporations and businesses from taking advantage of the public and in short ripping them off a little at a time which adds up to mis-gotten huge profits for those corporations that do it. A nickel at a time in mis-gotten savings for corporations spread over millions and millions of product add up to huge profits while misleading and ripping off the consumer.

Example: If a jar of product advertises a certain ingredient or includes it on it's nutritional label at a certain quantity or represents that it provides a benefit and it in fact does not provide what it advertised are you going to sue the company for the $2.95 you paid? Likely not. Moreover, what is you loss or what are your damages? You just throw the product out and move on or write a letter to the company which ends up in the circular file.

While I don't do class actions on a regular basis I know attorneys in Manhattan that do. Class actions take up in many cases rooms of documents, thousands of hours and pose the risk of the plaintiff's firm/attorney paying the defendant's counsel fees if they lose. Did you know that?

Class actions serve to disgorge the improper profits gained by the wrongdoer which in many cases to amounts to tens or hundreds of millions. You are notified to get back your portion. If you don't want it, that's fine. Walk away.

Yes, class action lawyers can make a huge amount of money but also put in in many cases hundreds and hundreds of hours, expense and risk of losing and getting hit with fees. Everyone is entitled to a profit. You make a profit on what you do correct? Profit many times is proportional to the effort and risk involved. Risk reward.

The court in class actions also sets the fees.

Would you risk hundreds and hundreds of hours on a contingent basis of success, the risk of you losing and not only losing your expenses, hundreds of hours and then getting hit for the other sides fees without a huge profit potential? No, didn't think so.

Class actions also help ensure you get what you paid for.

Just thought you would like to see the other side to the coin.

Back to the subject.

[Tommy]

Originally Posted by REAL 1

Just thought you would like to see the other side to the coin.

I've seen both sides of the coin. The party with money is on one side and the lawyers are on the other. However the coin lands, the winner is not me. That was the point of my previous post and yes, I know how the system works.

[REAL 1]

Originally Posted by Tommy

I've seen both sides of the coin. The party with money is on one side and the lawyers are on the other. However the coin lands, the winner is not me. That was the point of my previous post and yes, I know how the system works.

What did you expect to "win". What were your loses? Did you expect to receive more than you lost?

[Tommy]

Originally Posted by REAL 1

What did you expect to "win". What were your loses? Did you expect to receive more than you lost?

OK, this post will wrap it up for me. .... Real1, I didn't criticize anyone in either of my two earlier posts. Neither did I suggest I should get something for nothing. I understand that lawyers are trained to argue, but if you have to argue, please argue with something I said. .... Did I expect to receive more than I lost? No. But neither did I expect to spend as much in time and money as I was to receive in the settlement. Plainly, all I was being asked to do was provide the class action attorneys information that would benefit them while I broke even on the cost of my participation. That was my only point. I'm sorry if it was too subtle for you. I'll try to be more plain next time.

[DMXF]

Originally Posted by REAL 1

Class Action suits serve the primary purpose of providing a strong disincentive to corporations and businesses from taking advantage of the public and in short ripping them off a little at a time which adds up to mis-gotten huge profits for those corporations that do it. A nickel at a time in mis-gotten savings for corporations spread over millions and millions of product add up to huge profits while misleading and ripping off the consumer.

Example: If a jar of product advertises a certain ingredient or includes it on it's nutritional label at a certain quantity or represents that it provides a benefit and it in fact does not provide what it advertised are you going to sue the company for the $2.95 you paid? Likely not. Moreover, what is you loss or what are your damages? You just throw the product out and move on or write a letter to the company which ends up in the circular file.

While I don't do class actions on a regular basis I know attorneys in Manhattan that do. Class actions take up in many cases rooms of documents, thousands of hours and pose the risk of the plaintiff's firm/attorney paying the defendant's counsel fees if they lose. Did you know that?

Class actions serve to disgorge the improper profits gained by the wrongdoer which in many cases to amounts to tens or hundreds of millions. You are notified to get back your portion. If you don't want it, that's fine. Walk away.

Yes, class action lawyers can make a huge amount of money but also put in in many cases hundreds and hundreds of hours, expense and risk of losing and getting hit with fees. Everyone is entitled to a profit. You make a profit on what you do correct? Profit many times is proportional to the effort and risk involved. Risk reward.

The court in class actions also sets the fees.

Would you risk hundreds and hundreds of hours on a contingent basis of success, the risk of you losing and not only losing your expenses, hundreds of hours and then getting hit for the other sides fees without a huge profit potential? No, didn't think so.

Class actions also help ensure you get what you paid for.

Just thought you would like to see the other side to the coin.

Back to the subject.

There's no question attorneys provide some benefit, the question is does it warrant the fees they receive? I've seen business litigation, but more of an impact had my own personal experiences, including in a drawn out real estate transaction where as bills started racking up to a ridiculous level (not even a contingent case), I ended up being the one who had to come up with the ground breaking solution and meet with and negotiate acceptance with the multiple parties. The attorneys for the most part just processed paperwork/forms that once you see it done is not too difficult to duplicate the next time with adaptations. There is a concept in the business world called "value added" and that is where the issue lies. The legal system is also contorted as it is more of a game of who can push the boundaries further and is largely driven by who has the most $ to throw away to achieve their goals by wearing the other side out in to a compromised resolution - whether you are right or wrong is often more of a secondary concern.

[66gtk]

Originally Posted by DMXF

....is largely driven by who has the most $ to throw away to achieve their goals by wearing the other side out in to a compromised resolution - whether you are right or wrong is often more of a secondary concern.

Yes

[REAL 1]

Originally Posted by DMXF

There's no question attorneys provide some benefit, the question is does it warrant the fees they receive? I've seen business litigation, but more of an impact had my own personal experiences, including in a drawn out real estate transaction where as bills started racking up to a ridiculous level (not even a contingent case), I ended up being the one who had to come up with the ground breaking solution and meet with and negotiate acceptance with the multiple parties. The attorneys for the most part just processed paperwork/forms that once you see it done is not too difficult to duplicate the next time with adaptations. There is a concept in the business world called "value added" and that is where the issue lies. The legal system is also contorted as it is more of a game of who can push the boundaries further and is largely driven by who has the most $ to throw away to achieve their goals by wearing the other side out in to a compromised resolution - whether you are right or wrong is often more of a secondary concern.

Ah yes. Well, that's exactly the point isn't it? Who is driving the bus? Is it the clients who churn the litigation not wanting to compromise and be reasonable or the attorneys? My 30 years experience has shown me it is 90% of the time the clients who only start to become reasonable once they start bleeding too much money in fees. "Value added" has nothing to do with it. If you retain an attorney at an hourly rate that's the deal. If it's a contingency that's the deal. Do you have the other party in your business decide what your "added value" was once the smoke clears at the end. Doubt it.

Both sides are allowed to argue meritorious grounds, however, the Federal system under FRCP 11 and most states have frivolous claims rules and statutes for those that take unreasonable frivolous positions.

It's real simple, you are always free to cut the lawyers out and go pro se. In most cases ,except for very simple matters it does not usually turn out well for the pro se.