According to an analysis of 2011 securities class-action trends, provided by NERA Economic Consulting (12/14/11), securities class-action filings in 2011 are in line with those filed in the past three years. The report's authors note, however, that while filings linked to the credit crisis are down, suits filed against Chinese companies listed in the US and suits filed involving M&A (mergers and acquisitions) objection suits are on the rise. Furthermore, cases alleging breach of fiduciary duty in mergers or acquisitions are still frequently filed.
The authors report that in 2011 the median settlement was $8.7 million, down from 2010 in which the median settlement was $11.0 million. Although the median settlement in 2011 securities litigation dropped from 2010, it was still the third-highest median settlement since 1995.
READ MORE SECURITIES LEGAL NEWS
Officials estimate approximately $1.2 billion of customer money is missing. Because MF Global is in bankruptcy protection, clients cannot sue for the missing money. They can, however, file a lawsuit—or an arbitration—against the company's executives. More lawsuits and/or arbitration will likely be filed while customers wait to learn whether they will recover their missing funds.