Nope, this isn’t being driven by any shareholders. The lawyers want a big payday and found a client of convenience. If they win they’ll ask the count for a percentage of the value of the judgment using an innumerate formula for value.

that's not how lawyers get paid, outside of the ones advertise on TV. They bill massive hours that gets paid off the top, and some of it even if they lose.

Not in this kind of case.

Individual gains, collectivized losses

No, everyone got paid who was working there. But if it'd worked, the profits would've been taxed. As it is, the losses are kept private.

Losses are always public, these investors will use the loss against gains and therefore will pay less taxes, reducing the amount of government revenue.

Collectivized or public losses come into play when the government bails out failing companies so that shareholders don't get hosed for a bad investment. Shareholders getting hosed is the opposite of that; private loses.

Yes, the government doesn't get to take your money if you made a loss. That's not the same as what you're implying. The investors lost.

In the US of A, in the land of free and brave, it's a crime if the stock price does not go up. Probably legal fees are very minor compared to losses and it would be bad fiduciary duty not to sue if there is even 1% chance to win by a miracle.