A couple of more lawsuits to keep the show running!
From Yahoo
Another Suit
shoe_string_98
(39/M/BC Canada)
Nov 4 1998 11:58AM EST
Thermo Tech Technologies Inc -
Consultant files $90,000 (U.S.) suit
Thermo Tech Technologies Inc
TTRIF
Shares issued 59,926,057
1899-12-30 close $0
Tuesday Nov 3 1998
by Brent Mudry
Thermo Tech Technologies and subsidiary Thermo Tech Waste Systems face a
$90,000 (U.S.) suit from a consultant based in Bow, Washington. In a statement of
claim filed Monday in the Supreme Court of British Columbia, Kevin Morse and his
company Samish Bay Consulting claim his contract was terminated on July 14, but
Thermo Tech reneged on payment. Mr. Morse claims he agreed on
March 17, 1997, to provide unspecified consulting services for $5,000 (U.S.) per
month plus options for up to 150,000 Thermo Tech shares. Lawyer William Cascadden
of Bull Housser & Tupper seeks the contractual amount of $90,000 (U.S.), or payment
of a dishonoured $57,500 (U.S.) settlement agreement reached on Oct. 8. A statement
of defence has not yet been filed.
And for the grand finale coming up,
Free-Part 1
Peterluke_99
Nov 4 1998 5:19PM EST
Securities Litigation
What is a class action?
Class actions are representative lawsuits on behalf of groups of similarly situated
persons. Historically, a class action is a nontraditional litigation procedure that
allows a representative
with typical claims to sue or defend on behalf of, and stand in judgment for, a class
when the issues or questions are of common interest to persons so numerous as to
make it impracticable to bring them all before a court.
How are individuals benefitted by class actions?
There are numerous advantages for individuals to bring a class action instead of an
individual action. The major advantage of bringing a class actions is the more
powerful litigation posture for the class representative. Because of the greatly
expanded exposure to liability for class damages (damages to potentially hundreds
or thousands of individuals), as opposed to the damages suffered by a single
litigant, a defendant is much more likely to treat the litigation seriously from the
standpoint of defense or settlement than would likely be the case in an individual
litigation.
Moreover, because the potential for an award of attorneys' fees is greater in a class
rather than an individual litigation, attorneys are more likely to work on a contingent
basis which means an individual can avoid the often prohibitive expense of paying
legal counsel fees.
Additionally, there are a number of other jurisdictional, venue, and service benefits
to utilizing the class action device.
In what areas are class actions most common?
Class action lawsuits are potentially available in appropriate circumstances in all
areas of substantive law that become involved in a litigation controversy. Class
actions have been
brought in litigations involving securities law violations, antitrust law violations,
employment discrimination and sexual harassment, mass tort litigation (involving
such things as airplane crashes, environmental disasters, asbestos and tobacco
related illnesses), consumer fraud and false advertising to name a few.
What types of claims are brought in securities class actions?
Claims brought in securities class actions generally challenge allegedly material false
and misleading statements made by publicly traded companies and/or their officers,
directors,
other employees, accountants or underwriters made in publicly disseminated
communications such as press releases, annual reports, prospectuses, registration
statements, annual and
quarterly filings by said companies with the Securities and Exchange Commission
("SEC"), proxy statements and tender offer documents. Such actions also often
challenge insider trading by individuals associated with such public companies.
Securities class actions generally are brought under the anti-fraud provisions of the
federal securities laws including Section 10(b) of the Securities and Exchange Act
of 1934 and SEC Rule 10b-5, promulgated thereunder, as well as the Securities
Act of 1933.
Who brings class actions?
Anyone who has individual standing (e.g., has been harmed or injured by a
particular person or entity in violation of a law or laws) and who generally has
claims which are typical of other
class members, has no conflicts of interest with other class members, and has
retained competent, experienced counsel, among certain other prerequisites as to
the type of action being brought, can bring a class action.
What does it mean to be a lead plaintiff in a class action?
Under the Private Securities Litigation Reform Act of 1995 (the "PSLRA"), courts
are mandated to appoint a lead plaintiff(s) to represent a class in the most common
actions filed under the federal securities laws. A court is supposed to appoint the
lead plaintiff from the member or members of a class who (i) requested to be a
lead plaintiff within 90 days of the publication of a notice of the pendency of a class
action pursuant to the PSLRA; and (ii) are most capable of adequately
representing the interests of class members. The PSLRA presumes that the class
member(s) who has sought to be a lead plaintiff, who has the largest financial
interest in the relief sought by the class is the most capable of adequately
representing the interests of the class, although that presumption may be rebutted.
A lead plaintiff, once appointed as such by a court, may select and retain counsel
to represent the class. Additionally, provisions of the PSLRA apparently seek to
encourage the lead plaintiff's oversight of, and input into, the litigation of a class
action beyond that of other class members.
If I have been wronged, how do I bring a class action?
Contact Chet Waldman or Emily Madoff at Wolf Popper.
Will I have to pay anything if I bring a class action?
If you bring an action and you are represented by Wolf Popper you will not have
to pay any attorneys' fees. Wolf Popper will seek reimbursement solely from the
Court if it recovers monies or other benefits for the interests of yourself and the
Class.
Additionally, Wolf Popper will advance all costs and expenses of the litigation and,
if there is a settlement or favorable resolution of the action, will seek reimbursement
of its costs and expenses from the court.
Do I have to own stock in the company to benefit from a class action?
In an action under federal or state securities laws you, most typically, would have
had to purchase stock during a specified "class period." However, if you purchased
stock or other
securities during the specified class period, you would not have to own the stock or
other securities at the time a class action is brought or pending to benefit from a
class action.
Class Action-Part 3
Peterluke_99
Nov 4 1998 5:19PM EST
If the price of my stock has dropped a lot does that mean that I can recover my loss
from the company or its directors in a class action?
It depends. The mere fact that a stock's price has dropped significantly does not mean a
company, its officers or directors, or anyone else did anything wrong. However, if a
stock price drop is due to fraud or other misconduct by a company, its officers or
directors, or others, you should be able to recover your loss in a class action.
If the price of a stock you own has dropped significantly, and you believe the drop may
have been caused by the misconduct of others, or if you are not sure why a stock
dropped in price, contact Wolf Popper.
I've heard that stockholders only get a few dollars and that the attorneys get most of the
money from judgment?
This is nonsense. Any class action fee awarded to attorneys must, by law, be approved
as "fair, reasonable and adequate" by a court after a full hearing open to any class
member who wishes to attend. Additionally, all class members must be given
reasonable notice of such hearing prior to said hearing setting forth the amount of
attorneys' fees sought.
In general, attorneys' fees are awarded as a percentage of the benefit achieved by the
attorneys for the class. While these percentages vary depending upon, among other
factors, the size of the recovery for the class, and the length and complexity of the
litigation, the percentages typically fall within the 25% to 30% range of the recovery for
the class. Thus, class action attorneys only get paid if they recover a benefit for the
class, and get paid only a fraction of the benefit which the class receives.
When should I contact Wolf Popper if I think that a class action would be appropriate?
Immediately.
What services does Wolf Popper provide?
Wolf Popper handles any litigation matter from inception to conclusion. Additionally,
Wolf Popper has a corporate, trust and estates, international law and real estate law
practice.
Please contact Wolf Popper for a firm brochure for a more complete listing of the
services provided by the firm.
How much money have you recovered for stockholders?
Wolf Popper has recovered billions of dollars for stockholders in actions in which they
have represented them.
End of Section
Cheers,
Aardvark
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