At Play in SnapNames Lawsuit — Simple Math
How much did clients overpay thanks to Halvarez?
The prior week I noted regarding how the judge in the California lawsuit against SnapNames questioned how much money was at issue. In order to qualify for class action status, at least $5 million must be at stake.
In questioning the total number, the judge noted that the plaintiff in the case had lost a whopping $20. If ‘halvarez’ participated in 50,000 auctions at an average overpayment of $20, that would be only $1 million. It’s simple math, but the plaintiff decided two can use that logic.
Yesterday the plaintiff and his lawyers submitted their own crude analysis. The lawyers say they talked to a number of people, one of which had overpaid by $200 in an auction. So between one overpayment of $20 and another of $200, the median is $110. Multiply that by 50,000 and you get $5.5 million.
Hmm. Seems like a stretch to pick the highest overpayment selected out of talking to many people who were affected.
I’ve talked to lots of people, too. And I’d estimate the amount at play here is well under $5 million. Perhaps it makes sense for SnapNames to file with the court the exact amount at issue.
