The ABC broadcaster has a TV special tonight and a companion piece in today's WSJ arguing that other lawyers are likely to step into the shoes of the disgraced Lerach, Weiss and Scruggs. The true scandal? What it remains legal for these lawyers to do. As for the securities class actions filed on behalf of one broad investor class against, effectively, another broad investor class:
What do we get from this kind of "private law enforcement"? Very little. James Copland of the Manhattan Institute points out, "The small, diversified investor is as likely to be a buyer as a seller and thus a payer in a class action settlement. The 'little guy' pays money to himself." Actually, it's worse than that: Little guys come out behind because the lawyers pocket so much.
More from Ted at OL.