James Frey and Random House have agreed to settle with people who purchased Frey's book, A Million Little Pieces, before it was revealed that he had made up portions of his supposed autobiographical tale. Readers will be able to receive a full refund of their purchase price.
This is ludicrous. I don't know who first came up with the idea to sue, but I can only assume that they were thinking that they were going to make a lot more than the cover price. Further, I suspect that all of the people involved in the lawsuit will have to give close to 50% of what they receive to the lawyer, which means that they will have just received, essentially, a book for half price.
God bless the American legal system. It's very effective at being ineffective.