Class Action

Cases We Handle

• Drugs
• Medical Devices
• Consumer Fraud
• Data Breaches
• Employment Discrimination
• Securities Fraud

If your client can file their own civil lawsuit that seeks monetary damages, why should they file or join a class action lawsuit? The most common answer to that question is that filing a group lawsuit is frequently more practical for all parties involved, including the plaintiffs, defendant, and the judicial system. By consolidating several individual lawsuits into one class action case, the court system benefits by processing a lighter caseload. The defendant benefits because the person or business facing litigation faces it just one time. Plaintiffs benefit because a class action lawsuit spreads the cost of litigation over several class members. Attorneys working on a class action lawsuit question one set of witnesses, present one set of physical evidence, and hand over one set of legal documents.

Moreover, many individual cases do not involve enough monetary damages to justify filing an individual lawsuit. For example, a bank charges unlawful fees that average $30 per plaintiff. Filing hundreds of individual lawsuits does not make financial sense. However, when the individuals form a group by filing a class action lawsuit, the bank that charged the illegal fees can face a verdict that awards thousands of dollars to the members of the group.

In many class action lawsuits, an individual has chosen to pursue this route because the individual damages suffered don’t justify filing a lawsuit. If the damages are significant but spread out over a large group of people, it can be difficult to find a lawyer willing to take on your single case because it might not be economically feasible for them. Class action suits allow your client to hold the defendant liable for all the damages they caused to a large group, not just for the individual damages they have suffered. 

Many class action lawsuits involve large corporations who have taken advantage of many individuals. These large businesses seem to have endless financial resources and their own staff of lawyers that work against your client in order to ensure their profits are protected. They will often take advantage of “the little guy,” people who don’t have the resources to fight back. Class action lawsuits can change this.

Most Common Examples of Class Action Lawsuit Categories 

Class action lawsuits cover a wide variety of categories. However, the following categories represent the most common examples of the categories litigated for class action lawsuits.

Consumer

This category of class action lawsuits filed against defendants holds businesses and nonprofit organizations accountable for committing acts that defraud consumers. Consumer class action lawsuits also include seeking monetary damages for the harm caused by a business, such as the group legal action taken against Monsanto for selling an herbicide that caused cancer. Product liability, which falls under the personal injury type of law practice, is a common type of consumer litigation that involves the filing of a class action lawsuit.

Securities

After the asset bubble burst in late 2007 and early 2008, attorneys filed a record number of securities class action lawsuits. From investor scams to whistleblower litigation, many of the largest investment banks faced group legal actions that sought monetary damages for fraud and deceit. Filing a class action lawsuit against a large investment bank typically yields more positive results than when a single plaintiff seeks compensation by filing an individual lawsuit that seeks monetary damages.

Employment

Employers that allow discrimination in the workplace against a certain class of workers face group legal actions that seek just compensation for both economic and non-economic damages. Discrimination can cost a worker a job, as well as destroy the opportunity for career growth. Workers that have wage and hour legal issues can form one group to take legal action against an employer. Filing a class action lawsuit for employment issues greatly reduces the number of claims processed by the United States Department of Labor (DOL).

“Opting In” vs “Opting Out”

If the court sends your client a notice informing them about a class action lawsuit, you should reach out to the team of highly skilled class action litigators at Morgan & Morgan. Your client has to decide whether they want to join the group or instead, file an individual civil lawsuit that seeks monetary damages. Another option is not to get involved in any type of legal action.

If your client opts in for a class action lawsuit, it means they are joining the other plaintiffs that form the class. When your client decides to opt in a class action lawsuit, they cannot take individual action by filing a separate civil lawsuit. On the other hand, opting out of group legal action allows your client to pursue a separate individual civil lawsuit or decide not to get involved in any form of litigation. Once your client informs the court of their decision to opt out, they cannot change their mind and opt in a class action lawsuit.

Joining a Class Action Suit: The Class Period and The Lead Plaintiff

A class period is the time period during which unlawful conduct occurred. Anyone who suffered injuries or damages as a result of unlawful conduct during that period may be able to join the class action suit. The initial complaint usually specifies a time period, but in some cases, it can end up being extended once the suit is initiated. 

In a class action lawsuit, the lead plaintiff is the person filing the suit. They may also be known as a personal representative. This is usually the individual who works most closely with the attorneys handling the case. The lead plaintiff generally has more control over the lawsuit, and they sometimes need to appear in court.

Stages of a Class Action Lawsuit

Some common steps that are taken when filing a class action lawsuit include the following: 
Speak with a lawyer – the first step is to speak with a class action lawyer willing to take your client’s  case. They will analyze all of the information available to them at the time and determine whether they can help your client or not. 
File the lawsuit – once a lawyer or a firm has agreed to take your client’s case, the next step is for them to actually file the lawsuit. 
Certification – once the lawsuit is filed, the court must determine whether it qualifies for a class action lawsuit. This is known as certification. 
Objections – once the lawsuit is certified by the court, the defendant can make objections to the suit, including that the lawsuit isn’t valid or that the plaintiffs filing the suit aren’t the right representatives of the class. 
Announcements – after the objections are dealt with, the class action lawsuit will be announced to the public. This allows all people who were impacted by the defendant’s actions or inactions to be aware of the lawsuit. If eligible, they can even join the lawsuit at this point. 
Negotiations – class action lawsuits are often settled out of court, so negotiations are a big part of a class action claim. If the defendant refuses to settle or make a fair offer, the case will need to go to trial. 
Trial – if there’s no agreement reached through a settlement, the case will go to trial. This is why it’s imperative you hire a lawyer who has experience with both negotiating a settlement and litigating cases in court. 

Impact of COVID-19 on Class Action Lawsuits

The COVID-19 pandemic negatively impacted virtually every type of business industry, as well as entertainment venues such as concerts and sporting events. In addition to dealing a crushing blow to the world economy, the pandemic also brought the American judicial system to a grinding halt. Courtrooms across the United States closed for weeks, even months at a time, depending on where an outbreak reached crisis levels. The shutdown of the American judicial system included a substantial delay in litigating top class action lawsuits.

With the prolonged delay in litigating top class action lawsuits, commercials presented by law firms stopped showing on television. Commercials discussing the Roundup settlement or reminding viewers about the deadline to join the talcum powder class action lawsuit gave way to other forms of television advertising. However, just when 2021 turned over to 2022, courtrooms around the country reopened, which restarted the process for litigating top class action lawsuits. Since January 1, 2022, the number of top-class action lawsuits has increased significantly from the numbers posted in 2020 and 2021.