In order to join a class action, a lawyer has solicited a $1,500 retainer from victims - is this typical?

It is not typical but there's nothing wrong with it. A class action is tremendously expensive to conduct. Some lawyers ask for an up front payment usually for costs to fund the suit. This is a hybrid fixed/contingent fee arrangement. If the lawyer's being fair you should get the $1500 refunded out of the recovery, if any.

I would be very careful. Your question does not indicate the size of your loss or how much money is at stake in the litigation. Some class actions recover very small "individual" amounts to class members (like a Blockbuster Video rental certificate), but large attorney fees; some involve significant amounts of money. The attorney fees are often much larger than any individual classmember award. Most attorneys front the cost of litigation; you must evaluate how much $1,500 represents against the amount you expect to receive if the litigation is successful and why this attorney requires the retainer. Ask lots of questions. Find out if every class member is paying this fee and make the attorneys prove that all must pay. Make sure that the end has at least a chance of justifying the means.

I forgot to mention that, in most class actions, you can choose to "opt out" of the class, by a specified deadline, and pursue the litigation on your own. If you do not get satisfactory answers to your questions, you may want to consider that option. Find out, immediately, when the "opt out" deadline is. If you don't opt out by the deadline, you are a member of the class and bound by its rules and results.

It is difficult to answer your question because it is unclear what stage of the litigation you are addressing. The title of your question suggests that the lawyer is requesting a retainer from various victims in order to initiate the lawsuit, which is neither improper nor atypical. But your fact summary suggests that the lawsuit is already pending -- because has been "brought by shareholders" as opposed to "that will be brought by shareholders" -- in which case it is not typical. If it is the first scenarios, then Mr. Kaman's answer is right on point. If it is the second scenario, then Mr. Bello's observation is right on point.

It is difficult to answer your question because it is unclear what stage of the litigation you are addressing. The title of your question suggests that the lawyer is requesting a retainer from various victims in order to initiate the lawsuit, which is neither improper nor atypical. But your fact summary suggests that the lawsuit is already pending -- because it has been "brought by shareholders" as opposed to "that will be brought by shareholders" -- in which case it is not typical. If it is the first scenarios, then Mr. Kaman's answer is right on point. If it is the second scenario, then Mr. Bello's observation is right on point.