2.Costs and the Allocation of Litigation Risk Law Firm Driven Litigation in the US Rational Person:Benefit-Cost Analysis cIndividual shareholders have little incentive to sue,because The advantage is small. The potential cost is substantial. Page·12Page 12 2. Costs and the Allocation of Litigation Risk Law Firm Driven Litigation in the US Rational Person: Benefit-Cost Analysis Individual shareholders have little incentive to sue, because The advantage is small. The potential cost is substantial