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Message: Re: sman998...fred and all

I don't believe letters from attorneys who are not counsel of record, sent to other attorneys and/or judges as to how they should handle or decide an ongoing case, is appropriate.  I don't see the point in further discussing that, but in any event, questioning my credibilty isn't going to assist you in pursuing EDIG if indeed that is your goal.

While I admire your effort in seeking counsel, you are running into exactly the problem that would be expected, which is funding.  The "large sum of money" you mentioned, at least according to simliar efforts made with respect to PTSC, is a total in the range of $300,000 to $400,000.00 to pursue a shareholder action.  The reason that most attorneys won't accept a contingency fee arrangement is because of the extremely high up front and continuing cost, the uncertainty of the result and, perhaps even more importantly, the likelihood of a limited financial return even in the event of success.  EDIG itself certainly has no money, which means that any funds paid in judgment would come from D & O insurance.  I don't know the limits of that insurance policy for EDIG, but it surely is not enough to cover all of the shareholders' losses   ---   nor are the personal assets of Falk and Nunally even if you could get that kind of personal judgment, which is even less likely.

Also, while there are some very good people in this forum, don't expect any large financial contributions from them, either individually or collectively, to fund litigation.  Most will offer "attaboy support", explaining that they strongly favor the endeavor but just do not have spare money or time to contribute   ---   I wouldn't doubt their sincerity for an instant, but a bunch of "we're pulling for you" calls/posts/letters/emails won't get the job done.  People will "pull for you" unceasingly, but when it's time to "walk instead of talk", and they're asked to actually provide their own time and to write a real check from their personal bank account, few will do so.  The vast majority of those that do will limit contributions to a few hundred dollars because that's all they can, or are willing to, spare to provide.

Having said the above, I hope your experience in this endeavor ends up being different.  As I told Frank quite some time ago, I'll answer general legal questions as I'm able if that would be helpful while you search for counsel, but I'm not a corporate or bankruptcy attorney.  Good luck and best wishes to you.


May 21, 2018 01:12PM
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