Replies to post #132980 on Baron Capital Enterprise Inc (BCAP)

[mdimport]

I'll bet a pound of Florida bath salts the idiot Elkind discovered there's absolutely no case because a settlement was signed by all parties. That's what the deposition that was posted online suggests. That and the fact that his lawyers appear totally incompetent.

Maybe the dead beat will blow a few thousand more dollars chasing a dead-end case. Who knows....

[mdimport]

One other thing to be discovered is that the legal process is very expensive, and there's a huge risk to the litigant / plaintiff.

Discovery process, even in a simple case, can very easily exceed $200k just through the interrogatory and deposition phase. Then the case needs to be clarified, stated and substantiated. Not simply baseless allegations that could be made by any whack-job, but specific provable accusations that a defendant would be able to respond to. Following that, there's mediation, case management and finally trial. That's the general outline.

Assuming ones case passes through the case management phase and is accepted for trial, pre-trial expenses would broadly be in the order of $4-600k. Trial itself is hundreds of thousands of dollars per day. All of these expenses don't guarantee a win for the plaintiff. It's simply the cost of getting one's day in court.

Summary:
1. There have been a bunch of unsubstantiated rumors made about BCAP over a 3-4 year period.

2. The SEC who typically take 6-18 months to file, have had around 36-48 months to press charges if there was any basis to these rumors, but nothing has ever been filed by any regulator.

3. The fact nothing has happened as a result of any rumors is very telling (note there have been roughly 1,000 OTC stocks suspended over the past 3-4 years, but BCAP has never had one single charge leveled against it by any regulatory authority).

4. The above all tells me none of the allegations has any basis in fact or in law (all smoke and no fire from one or more parties with a grudge).

I know someone who went through a similar experience making unsubstantiated allegations. They believed their self-delusions to the point that they decided to take the litigation route as a plaintiff. It has so far cost that person several hundred thousand dollars (high six figures), a pending divorce, kids won't speak to them, kids having a tough time socially, probably their house, possibly jail time, and the person is virtually broke late in life after having incurred huge legal expenses.