What Are Class Action Lawsuits?
When several people are negatively impacted by using a product, or service, or are subject to any unlawful action by the same company or person, then these individuals can form a class of plaintiffs to file a single class action suit. The most common cause of class action lawsuits is a defective product, such as prescription medication or a vehicle malfunction; however, class action lawsuits can be filed for a variety of reasons.
Typically, victims of a class action lawsuit get injured, resulting in medical expenses; but they can also suffer other types of damages, such as financial losses and property damage. Not all types of litigation qualify as a class action. There are several requirements or characteristics of a class action lawsuit.
One of the primary requirements is that the claims need to be similar. In other words, all victims must have a similar claim. They do not have to be identical but must be similar, making it practical to resolve numerous disputes via a single lawsuit. Another requirement is certain plaintiffs must be named as class representatives. The role of the class representative is to represent the interests of the entire class appropriately and fairly.