WHAT IS A LEAD PLAINTIFF AND HOW DOES THE COURT DETERMINE WHO WILL SERVE AS LEAD PLAINTIFF?
A Lead Plaintiff is a representative person(s) or party appointed by the court, who acts on behalf of the other class members in the litigation. The Private Securities Litigation Reform Act of 1995 provides that the most adequate Lead Plaintiff is the person or group of persons who, in the determination of the court, has the largest financial interest in the relief sought by the class. The court must also determine that the proposed plaintiff’s claims are typical of those of other class members, and that this plaintiff will adequately represent the interests of the class as a whole. Anyone may seek to be Lead Plaintiff within a sixty-day period specified in the press release announcing the filing of the action.
