Has anyone recovered money from stock ligitation lawsuits?

Discussion in 'Trading' started by Steven W, Mar 9, 2017.

  1. Robert Morse

    Robert Morse Sponsor

    You won't know until years later. And, you may not qualify.
     
    #11     Mar 10, 2017
    MoreLeverage likes this.
  2. Steven W

    Steven W

    Will not qualify because I trade instead of invest?
     
    #12     Mar 10, 2017
  3. Robert Morse

    Robert Morse Sponsor

    When there is a class action lawsuit, they describe in detail who qualifies. Sometimes you need to have a holding period, others you don't. You have to read the action paperwork and respond. Then wait.
     
    #13     Mar 10, 2017
  4. zdreg

    zdreg

    you are a lawyer. did you act as your own attorney? also if it was a class action suit did you opt out to sue on your own?
     
    #14     Mar 10, 2017
  5. Robert Morse

    Robert Morse Sponsor

    No. I never said any of those things. When there is a class action lawsuit, somehow they find out that I have traded those securities. I then get a mass mailing asking me if I want to be part of the class. I filled out everyone of those when I was trading full time. Some I got paid nothing, because I did not qualify, some I got paid a lot. My payment ranged from $25 to $22,000. The $22K was an Apple suit with a $6mm settlement where I traded 7mm shares of AAPL during that time. I was a option MM in that crowd during that time. You can also search out for suits for those securities that you trade a lot. If your volume is small, it is not worth your time. Not only do you have to fill out the forms but you have to produce records. That is the big problem. Your broker does not have to keep records past 7 years. Many lawsuits take that long to settle.
     
    #15     Mar 10, 2017
  6. zdreg

    zdreg

    thanks for explaining in depth.
     
    #16     Mar 10, 2017
  7. hopefully this is more relevant to traders, they tend to look at your net loss during the class action period and that's what determines what share of the settlement you get. So if you had some profitable trades and then got caught long when some bad news hit, they basically net your profits and don't pay you on the full amount you lost.

    Plus, if you trade a lot, the record paperwork they request is going to be pretty annoying to complete. It's designed for people with a few buys or sells over a year.

    I have yet to see a successful class action claim for bullish lies by mgmt to help the poor injured short sellers recover either. A clear failing of our legal system.
     
    #17     Mar 11, 2017
  8. ironchef

    ironchef

    You would be lucky to get more than $100. I never got more than that back and my trades were in that range. It is a get rich scheme for lawyers and not investors or traders. And to add insults, you have to fill out tons of paperwork provide tons of proofs. I now just ignore them, better use my time to trade.

    Good luck.
     
    #18     Mar 12, 2017
    Steven W and dealmaker like this.
  9. Steven W

    Steven W

    Would
    Would like to add when I say $50k quantities, this equates to about 50k shares or so since I buy penny stocks. you get paid per share right? So do you think it would be worthwhile to file then? Would like to weigh if it is worth it since I trade the same security 10 times at least during a year and sometimes the broker breaks up my transactions by fills of 100 share lots so I expect at least 200 lines of transactions to submit. That is a lot of paperwork to attach
     
    #19     Mar 13, 2017
  10. Steven W

    Steven W

    By the way, I wiped out most of my account last week. I am officially staying away from penny stocks now.
     
    #20     Mar 13, 2017