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The 'Illusion of Compensation': Cy Pres Distributions in Canadian Class Actions

Resource type
Author/contributor
Title
The 'Illusion of Compensation': Cy Pres Distributions in Canadian Class Actions
Abstract
In both the U.S. and Canada, the now common use of cy près in the design of class action settlement distribution plans represents a radical transformation of the original cy près doctrine. Despite the facilitative role of class actions in aggregating claims, in some cases there may be no practical way to calculate or pay hundreds of thousands of small claims. In its current manifestation in class actions, cy près has become the mechanism by which aggregation of loss is effected. Cy près is therefore used not only to dispose of unclaimed settlement funds, but to avoid having class members claim a portion of the settlement at all. In this way, cy pres creates the "illusion of class of compensation” (to borrow Martin Redish's term), because the bulk of the class receives no compensation at all.
Genre
SSRN Scholarly Paper
Archive ID
2427868
Place
Rochester, NY
Date
2014-04-22
Accessed
9/4/23, 12:55 AM
Short Title
The 'Illusion of Compensation'
Language
en
Library Catalog
Social Science Research Network
Citation
Kalajdzic, J. (2014). The “Illusion of Compensation”: Cy Pres Distributions in Canadian Class Actions (SSRN Scholarly Paper 2427868). https://doi.org/10.2139/ssrn.2427868
Author / Editor