Milberg recently paid the government $75 million to avoid prosecution for bribing "professional plaintiffs" to serve as stalking horses for its suits. The settlement followed guilty pleas of two of the firm's former partners, Bill Lerach and Melvyn Weiss, for their parts in the scheme. These convictions led to the predictable calls to crack down on class action lawyers. But lawyers simply respond to the perverse incentives created by securities fraud litigation. The problem is the system, not the lawyers.
SECURITIES FRAUD CLASS ACTIONS
'Basic' error is focus on loss
The National Law Journal
September 22, 2008
This content is now available at LexisNexis®.
The ALM® and LexisNexis® Content Alliance
LexisNexis® is now the exclusive third party online distributor of the broad collection of current and archived versions of ALM’s legal news publications. LexisNexis® customers will be able to access and use ALM’s content by subscribing to the LexisNexis® services via lexis.com® and Nexis®. This includes content from The National Law Journal®, The American Lawyer®, Law Technology News®, The New York Law Journal® and Corporate Counsel®, as well as ALM’s other newspapers, directories, legal treatises, published and unpublished court opinions, and other sources of legal information.
ALM’s content plays a significant role in your work and research, and now through this alliance LexisNexis® will bring you access to an even more comprehensive collection of legal content.
If you are not currently a LexisNexis subscriber, contact 1-800-227-4908 to find out more or click here to have a customer representative contact you directly.