Class action lawsuits are often some of the most high-profile cases in our legal system, but many people don’t understand exactly how they work. In our article below, we will explore some of the frequently asked questions relating to class action lawsuits.
What is a Class Action Lawsuit?
•A class action suit is when multiple plaintiffs join together to take legal action against a defendant.
•“Class” refers to the group of people suing the defendant.
•In a typical lawsuit, all parties are present in court, whereas in a class action suit, named plaintiffs represent a larger pool of plaintiffs who are not required to be present for court proceedings.
•In class action suits, claims of all class members – whether they have personal damages or not – can be resolved at once, instead of each plaintiff suing individually.
How Do I Join a Class?
Any person who meets the criteria defined when the lawsuit is filed will be known as a class member. If you think you may be eligible as a class member for a suit, keep your eye on the news – you can join the class action by applying to join the class online on the official settlement site. This will entitle to you your portion of the settlement once the case is settled, if applicable.
How Does a Class Action Start?
Class actions begin when a complaint is filed. The plaintiff will make allegations of wrongdoing and will show that the action is eligible to be brought as a class action. This means that many individuals have been affected by the wrongdoing, class members’ claims share common law questions, the named plaintiff’s claims are typical of all claims of the class, and the lead plaintiff will protect the interests of the class.
What Are Some Examples of Class Actions?
There are many high-profile examples of class actions. The largest ever class action was for $206 billion against tobacco companies in 1998 to cover medical costs for ailments caused by smoking. The class action against Enron in 2008 is another example. That suit led to a $7.2 billion settlement.
Defective product suits are common class actions. So are suits over price fixing. Pharmaceuticals causing adverse health effects are also frequent targets. Suits against social media companies for various consumer protection violations are also becoming more popular.
Where Can I Learn More About Class Actions?
Keep an eye on the RapidFunds Insights page, where we regularly report on the latest class action suits and settlements. Make sure to follow us on LinkedIn so you never miss an update.