Class-action lawsuits soar as investors try to recoup credit losses

The credit crunch sparked a 58 per cent rise this year in class-action lawsuits filed by American shareholders against companies and their directors, research shows. Lawyers filed 207 class-action cases this year, up from 131 in 2006. The average settlement also soared to $32.2 million (£16.2 million), up nearly 50 per cent on 2006. The median pay-out hit a high of $10 million, according to NERA Economic Consulting, an international firm of economists.

Class-action lawsuits soar as investors try to recoup credit losses business.timesonline.co.uk Mon, Dec 31, 2007