We recently discussed the nature of class action lawsuits and how they can provide a level playing field for plaintiffs who would otherwise not have the resources to take on a large corporation or other entity. "What is a class action and how is one started?" has more on that subject.
Something else to know about class actions is that class members can always "opt-out" of a settlement and instead seek a greater recovery through a separate claim. This route generally poses significant risks and obstacles to individual plaintiffs. However, opt-out litigation has become more common in securities class actions, as large institutional investors may have the resources to opt out in pursuit of a more favorable settlement.
The attorneys of Shepherd, Finkelman, Miller & Shah represent plaintiffs and defendants in class action suits, and we understand how unpredictable opt-out claims can be, both for plaintiffs and defendants. From our offices in Connecticut, New York, New Jersey, Pennsylvania, Wisconsin, Florida and California, our attorneys are in a position to advise clients throughout the country of the merits of a class action lawsuit versus a possible settlement by way of opting out.
SFMS attorneys have also worked with the Justice Department and the Securities and Exchange Commission, as well as FINRA and other regulatory organizations, in order to provide comprehensive representation and legal counsel to clients. Our firm has also helped bring about important reforms in corporate governance.
To learn more about SFMS and our specific areas of practice, please visit our overview of corporate governance and securities regulation.