Frequently Asked Questions
General
What are the benefits of a class action?
A class action allows a plaintiff with relatively small injuries to bring a lawsuit on behalf of all others similarly situated, as if filed by one large group. By aggregating their claims into one action, plaintiffs are able to share the costs of litigation, making it worthwhile to assert their legal rights regardless of the amount of harm suffered by each member of the class. In other words, a class action ensures that defendants who cause widespread harm are forced to compensate every individual harmed, particularly when the cost of pursuing an individual action would cost more than the relief sought.
What is a Lead Plaintiff or Representative Plaintiff?
A “class action,” or “representative action,” is a legal action commenced by one or more aggrieved parties on behalf of all similarly situated aggrieved parties known as the “class” of plaintiffs. In the event that more than one action is filed on behalf of the same class and alleges similar claims, the presiding Court will consolidate the actions into one. The Court will then grant the request of one or more members of the purported class to lead the action and represent the interests of all class members throughout the course of the litigation. The selected plaintiffs are referred to as the “Lead Plaintiff[s]” or “Representative Plaintiff[s],” depending on the type of class action and the specific responsibilities of each. In certain circumstances, one may be selected as a Representative Plaintiff on behalf of class members with particular claims, despite not being selected as a Lead Plaintiff, charged with directing the action and overseeing counsel. In order to be selected as a Representative Plaintiff, one must have claims typical of all other class members and have interests that are not adverse to the remaining members of the class.
Is there any cost for participating in or leading a class or representative action?
In most shareholder class actions, there are no direct costs to the parties bringing the action. This is true with all cases brought by Abraham, Fruchter & Twersky, LLP. We bring cases on what is known as a contingent fee basis. This means that we will advance all of the expenses involved in the case and only seek a fee from any recovery or from the defendants as the court may approve upon a successful resolution of the case. In the absence of a successful recovery, no fee will be charged to any plaintiff.
If a case has already been filed should I still contact you?
Absolutely. If you have suffered losses it is of extreme importance to be represented by the counsel who will best represent your interests and the interest of the class. The knowledgeable attorneys at Abraham Fruchter & Twersky will be able to assess your individual claim and advise you how best to proceed.
Why should I choose Abraham, Fruchter & Twersky, LLP?
Our knowledgable and experienced attorneys have actively participated in the recovery of billions of dollars on behalf of harmed investors and we consistently earn praise from both our clients and the judges we appear before.