Rust Consulting 22 Million dollar Ameriquest Lawsuit, and class members receive 48.00 and 52.00, whats up with this? Minneapolis, MN , Minnesota

I saw a title with my name in it on a reply. My reply may have come off as defensive, but only because you state that every single class action lawsuit you ever heard of was a big scam. I strongly disagree with that. If there was no crime against humanity conducted by big business, there would be no need, nor grounds for any class action lawsuits.  For better or worse, they often lead to a positive result regardless of who gets the chunks, and the exact cash amount value per chunk. It is not always about that, but the means to an end which granted is not always pretty, but does at times better us as a species in the long run.

Nothing for me to lighten up about, I feel no heaviness whatsoever.

   I merely stated that you left out "the big number".   I thought that readers might like to know what it was.

   By the way, "chunk" is not a number. 

   Lighten up, Francis.

I stated "the lawyers get a big chunk". The case was settled for 22 million..surely 7.3 million is considered a "big chunk".

I have to disagree with Flynrider in this case. Granted I do agree class action lawsuits are often good for the lawyers, but it is not "only" good for the lawyers. It can often lead to law changes and policy changes that do end up helping the consumers.

If I had my way there would be no need for class action law suits..or even lawyers for that matter. But the sad truth is when corporations and institutions have too much power and too much greed, there is not much the average consumer can do to fight it..other then a class action lawsuit. Contrary to popular belief, there is RARELY if EVER the so called "frivolous" lawsuit. In order to make it to a courtroom, it has to have some credence and relevance.

The lawyers put a lot of work into these suits, and THEY take a big risk as well. Not all go in their favor, and these corporations often have the money to have teams of lawyers fight it and appeal till no end.

Granted in this case the "truly" injured parties are getting next to NOTHING..I would agree. But, this company is DOA..and I am sure others are going to think twice before they face a similar lawsuit as well. If there is a better way please..let us know so we can stop making the lawyers rich. The legal system as flawed and unfair as is can be..is sometimes all we have..and thankfully in the USA, we at LEAST have that.

   The attorneys get $7.33 million. 

   A good illustration of why class action suits are only good for the lawyers.  The truly injured parties get next to nothing, but the lawyers make millions.  That's par for the course in every class action suit I've ever heard of.   It's all a big (and very profitable) legal scam.

For all of you that keep mentioning "class action" lawsuit in various posts- the only winner is the attorney.

If you are truly wronged - and have written proof, then a class action lawsuit is NOT the way to go. Hire your own attorney and sue the offender for your damages individually. Yes, it is more work for you, but you are more likely to obtaina reasonable settlement or damage payout than any class action lawsuit.

The lawyers will get a big chunk. the "lead" plaintiffs will get around $7,000 each..the other 700,000 will get anywhere from pennies to 50 bucks or so. The rest is fees and charities, counseling etc. etc..

Here is the most recent info from Ameriquests website regarding the settlement...

The Settlement provides a monetary fund of $22 Million (Settlement Fund), which will be used for (1) Settlement Payments to Class Members, (2) Foreclosure Prevention Services, (3) Notice and Claims Administration Costs, (4) Service Payments to the plaintiffs who brought these lawsuits (the Class Representatives), and (5) Attorneys Fees and Costs approved by the Court.

In addition to settlement payments, $200,000 of the Settlement Fund will be used to provide foreclosure prevention counseling services to eligible Class Members. Eligible Class Members are those who still have a loan originated by Ameriquest, regardless of what company is currently servicing your loan. Plaintiffs have designated Neighborhood Housing Services of Chicago (NHS) to provide foreclosure prevention counseling to such eligible Class Members. These services will be available to eligible Class Members if and when the Settlement becomes effective.

To the lawyers - that is who gets the money.