Also posted @ reddit
http://www.reddit.com/r/Bitcoin/comments/1zyf1w/sellachi_llp_vs_mtgox_discussion_of_fee/Selachii LLP
London
7th March 2014
www.selachii.co.ukSelachii LLP have now received enquiries from more than 1,000 potential Claimants following the collapse of the MT Gox Bitcoin exchange. We have retained the services of Nigel Power QC and Daniel Rogers of 7 Harrington Street Chambers to pursue these claims. There are obvious advantages in costs for group action or actions to be pursued against Mt Gox (and/or Tibanne KK and Mark Karpeles) for fraud, negligence and/or breach of contract in Japan, the USA and/or England. Because of this, Selachii LLP are in advanced talks with Japanese and US lawyers with a view to combining resources and keeping costs to a minimum.
As Mt Gox have filed for bankruptcy protection in Japan, it is important to realise that establishing liability against the company may not necessarily result in the recovery of damages, a position which will be carefully monitored. As in all litigation, there is a cost risk for a Claimant if that Claimant were to lose the litigation. However, we are examining options for Insurance policies that would protect Claimants from such costs. Further and detailed advice from Counsel regarding appropriate litigation insurance and also the prospects of success of any claims will be forthcoming to clients in due course. However, more detail regarding the losses is required in order for us to provide this advice and guidance to clients.
A questionnaire has been prepared which will give sufficient information for every potential claim to be assessed quickly. Counsel will provide a full opinion on the merits and advice as to how matters should be taken forward by the 24th March 2014, or 7 days after receipt of the questionnaire, whichever is the later date.
The fee for Counsel and Selachii LLP to initially build a case, obtain evidence and undertake fact finding will be 2 BTC per claimant.
This fee will also include:-
(i) The written Opinion from Counsel referred to above, with regular updates as your case progresses.
(ii) Management of your claim generally
(iii) Negotiation with Lawyers instructed by Mt. Gox (and others)
(iv) Engaging in the Bankruptcy proceedings
(v) Liaising with law firms in USA/Japan and any other relevant jurisdictions in respect of issuing class action proceedings.
It is felt that at this stage, it will only be viable financially to claimants to join in the class actions if they have 7 BTC or more.
We would be grateful if each client who wishes to proceed would return the signed questionnaire and terms of business (with certified ID as per the questionnaire) by email and post. The claim will then be processed when funds on account of 2 BTC arrive (address TBA).
It is important for claimants to understand that a claim will only be issued if negotiations fail. If it becomes necessary to issue claims, consideration will be given to the filing of class actions in whichever jurisdiction is deemed appropriate for your case. At that stage a further quotation will be provided (if necessary) for the costs relating to litigation, although consideration will also be given to proceeding on a contingency fee basis.
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Sorry but i think this should be discussed, many young people in bitcoin are likely very new to the legal world:
The pricing is 2 BTC for initial legal costs = $1200, if you get near 1k people that is over 1 million dollars before we get started. Fully aware this would cost huge amounts with individual cases.
1.) Approximately how much extra could be charged from selachii if the MtGox case goes further?
2.) Is the 2 btc refunded if MtGox open for business in say a weeks time & have the ability to pay everyone back?
3.) Why 2 btc? (Dont always have to round up to whole bitcoins if pricing things in bitcoins guys
). There is no price break down for the 2 btc.
Note: I will personally find 2btc amazing value with some kind of result or guarantee btw
4.) Will selachii be waiting to see MtGox's plan for rehabilitation before charging any clients?
5.) Will clients be asked to pay 2btc before knowing insurance policy details/potential success of any claims?
I really think you should hold off on charging 2 btc until we know more from Mtgox or another idea would be charge for an application admin fee & any any initial legal work up to this point. The negotiation cost could come later.
Anyone else have concerns please post.
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background history on Selachii LLP:
source:
http://wck2.companieshouse.gov.uk/& search Selachii
link given by selachii to confirm their background/experience:
http://www.sra.org.uk/solicitors/firm-based-authorisation/abs-register/597443.pagelinks to other related threads:
http://www.reddit.com/r/MtGox/comments/1zn09i/selachii_trustworthy/_______________________________________________________________________
A concerning review on history of the selachii directors brought to our attention by
http://www.reddit.com/user/Donutmuncher:
"I read the whole thread on
http://www.consumeractiongroup.co.uk/forum/showthread.php?367574-payday-loan-taken-out-2-years-ago-now-capital-credit-management-Lasker-International-taking-my-money/page4 when the Selachii directors were (allegedly) involved in debt collection.
It appears Richard Howlett (Capital Credit Management) was working behind the scenes with Simon Taylor (Lasker Int) to get debts paid back but denying they knew about each other. They both are directors of Selachii now. "
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So everyone knows, im assuming 'bitcoinsolicitor' is connected with Selachii LLP
https://bitcointalk.org/index.php?action=profile;u=212314
