摘要：This Article analyzes the shortcomings of using auctions for selecting lead counsel in class action cases. In contrast to what proponents of auctions suggest, the outcome of an auction is likely to divergeconsiderably from what an informed principal would have chosen. In particular, auctions push the percentage of recovery paid to counsel to thelowest level at which law firms would be willing to take the case. Because of the need to provide counsel with incentives to invest effort andresources, however, the class might well be better served by a higher percentage than this minimum level, and auctions might push fees to levels that are too low. The analyzed problems are ones that arise also in those types of cases for which the use of auctions should be considered according to the recent recommendations of a Task Force report.
关键词：Class actions (Civil procedure); Securities; Letting of contracts; Class counsel -- Auctions; Court appointed counsel
