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Username: LegalEagle
Date/Time: Sun, January 6, 2002 at 3:08 PM GMT
Browser: Microsoft Internet Explorer V5.5 using Windows NT 5.0
Subject: Class Action Suit

Message:
 

 
If you could find enough customers that used the same registrar, then a class action may also be a possibility. If the alleged fraud or misconduct affects many people in a similar way, those people can look for a law firm or lawyer to represent them all. This is because the damages may not be enough ($300 odd refunds at the most?) to justify paying lawyers for the many separate individual cases. You can sometimes get the law firm or lawyer to take a class actiion suit on contingency, which means that the attorney will only be paid in a successful case.

However:

There have to be enough people to justify bringing the suit as a class. This number can be as few as 20 people but if each are only getting a few hundred dollars, it's not worth it for any lawyer.

You must also be able to show the court that there are questions of law or facts common to the entire class meaning similar misconduct has occurred, for instance misrepresentation of failure to deliver the service as promised. Each person in the class should be making allegations that are similar to the other class members.

However, if there are a lot of individual issues among disgruntled customers, a class action may not be the best way to proceed.

I personally think that a disgrunteld customer site (e.g. badregistrars.com) is the best approach to fight allegedly dodgy registrars, but it's important that the allegations on the site are monitored; if a registrar's business suffers as a result of false allegations, then that registrar could sue for damages. For this reason, it may pay to set up a not-for-profit incorporated society that monitors the site - this has limited liability so that if a registrar did successfully sue, the company would have a harder time getting money from the individuals beind the website.
 


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