class action, page-29

p2, if your definition of success is going to trial then let's celebrate massive payouts.

'never in Australian corporate history has a company lost to a class action'

WOW! I'm breathless.

GIO had to pay out over $100mill. Aristocrat is reputed to have paid over $200 mill according to some reports but this may be exaggerated. The actual announcement states this:

'IMF said in a statement after the market closed that the terms of the conditional settlement are confidential and there is a possibility that the conditions, one of which is settlement approval by the Federal Court, may not be met. '

What might these confidential terms be? If it's $40mill as Aristocrat state then it's $40mill, still alot of money and Aristocrat's claim is alot smaller than CNPs

Regardless, do you understand the point I'm making. The point is corporate class actions have rocketed in the last 2 or 3 years. Why is that? Because law firms know there is now precedence and there is a good chance of rewarding their clients.

Doe it make a difference if you have to pay a settlement out of court or in court? Sure the amounts might be different but its obvious why they rarely go all the way, isn't it?

CNP currently has two class actions. WIll there be more? Who knows, but again these class actions are for alot more than GIO or Aristocrat were. $800mill+ as I understand. Even if they do get a fraction of this in 4 years time its money CNP can ill afford to give away and the focus required and the negativity that it creates must be considered.

I just don't understand why everyone is so aggressive when one makes a comment. As I said its a view, if you don't agree make your point and stop the whinging tone. It's unbecoming.

My point which you missed is that you have to take all these things into consideration. Class actions, contrary to what some are implying, is NOT a POSITIVE thing for any company.

Anyway I'll head off now, revisit in a while, make a comment, and I'm sure get lambasted again by 'attached' shareholders wondering why the stock is still 35c.