Largest class action settlement

The largest class action settlement in the world was awarded to stockholders of Cendant Corporation who were paid the final installment of $3.2 billion (£2 billion)in 2002 after it was discovered they had paid more for stock than they should have. Cendant was created in 1997 by the merger of HFS Inc, franchiser of Avis, Ramada Inns and Century 21, with CUC International, a company that sold memberships in discount buying clubs. HFS management largely controlled the new company and soon learned that CUC had overstated its income, effectively defrauding investors.