I received a notice in the mail today regarding the class action suit. I noticed the fees for the suit are north of $86,548,500.
Are these types of fees normal?
Even if normal, are they reasonable? That's an honest question -- I'm not familiar with the law, so perhaps there are a lot of costs I'm simply unaware of.
Honestly, part of the reason I'm questioning it is that a member of the suit, I've found them really disappointing. I had a pretty basic question & emailed the address they provided for questions. It was a full 92 days before anyone responded.
For $86 million I guess I would hope for better than that.
Next you have other costs such as filing fees, notification to the affected parties, copying fees (this is no small amount per month), research costs, and validation costs. All of this adds up quickly. Trust me the list goes on and on.
Now for the kicker. There is no promise or guarantee that the suit will win. Most class actions don't. So the attorneys of record for the plaintiff side take on all of the liability of these costs, for however long as the suit is in process. This is a huge level of business risk, spanning sometimes many years. Imagine an investor taking on this level of risk in a technical company? They will want a substantial reward at the end. Thus, the level of fees associated.
Remember also that of the plaintiff loses, they often have to pay the defendant legal fees, which are also sizable. This is a huge risk.
Finally, it's unfortunate that they didn't email you back promptly. But remember, in a class action you are not really their client. You are their means to an end. It's a rough relationship.