coco busts

Discussion in 'Trading' started by Free Thinker, Jan 27, 2004.

  1. A judge in Manhattan has ordered the Nasdaq to pay $3,000 each to two traders who filed in small claims court for their Dec. 5 trades in Corinthian Colleges (COCO).
  2. pspr


    Those who lost money in COCO should get a copy of the complaint and judgement and file thier own or if you lost a lot more, take it to an attorney. I'll bet the NAZ will settle and you would never have to go to court.
  3. Htrader

    Htrader Guest

    From the wording the article, it seems like the judge only awarded them for their losses as opposed to their "potential profit." I'm assuming this means that the traders bought the low prints, sold after the stock was unhalted, only to find themselves short later on and had to cover at a loss.

    So if the judge only compensates them for this loss as opposed to their lost profits, it still means that I can't get back my huge unrealized profits.
  4. Toonces


    Didn't you still have a huge loss because of the busted prints? If I remember correctly, you were trading about 6000 shares, weren't you? Did you wait to sell until later on in the day?

    I'm not sure if I'm going to sue. I only lost about $800. After a lawyer takes 1/3, I'll only get 5 hundred or so. May not be worth the trouble.

    Anyone else suing/going to sue?
  5. spieler


    is there an article on the web on this jugement?
  6. Toonces


    Check the other COCO thread (from a few days ago)
  7. Htrader

    Htrader Guest

    I had a 6000 lot but that wasn't broken.

    I did buy 3000 at the low print, sold it at 54.75 after the reopen, only to have to buy it back above 55 when the first trade got busted. I lost a bit over $1000 on this lot, but it hardly seems worth it to take it to court.

    I suppose I could take it to small claims court, but I wonder if the judge's decision would be binding or whether nasdaq would just appeal any decision.
  8. i'mlong


    First, you don't have to get a lawyer to go to small claims court. It would defeat the purpose. Second, the max amount you can sue for is $3,000.
  9. jem


    The max amount depends on the Jurisdiction. Nasdaq would not want to appeal because they do not want to bring it up to a court that could lead to an appeallate process that could lead to a precedent or a class action. (this is an opinion I could be wrong, but I doubt it)