Class Action Lawsuits: How They Work & Why You Should Join Them

Law Articles

A class action lawsuit is a lawsuit where a lawyer represents a group of people who are claiming damages against a product or company. On average, 191 class action lawsuits are filed every year. The average maximum dollar loss for annual class action suits is $652 billion. If you were harmed by a household product, medication, or procedure, there may be a class action lawsuit that you can join.

What Type of Class Action Lawsuits Are There?

A class action lawsuit can begin for just about anything. If a pharmaceutical company has released a drug that caused serious adverse side effects that were not listed on the label, a lawsuit can be filed. Other defective items that can start a class action lawsuit include:

  • Vehicles or vehicle parts
  • Food
  • Medical devices
  • Electronic devices
  • Home improvement items

Class action lawsuits can even be filed for non-tangible complaints.

Why Join a Class Action Lawsuit?

There are a few reasons why you should join a class action lawsuit. The obvious reason is because you will receive some of the payout money. When a class action lawsuit is settled, everyone who is signed up in the lawsuit receives a portion of the funds. For example, if a lawsuit settles at $45 million and there are 120 thousand people in the class action lawsuit, you will receive about $375 (assuming the $45 million is after lawyer fees).

Another reason why you should join a class action lawsuit is because it will help the lawsuit win. If a lawyer is trying to prove that thousands of people were harmed by something but only 200 people sign up for the lawsuit, the courts are not likely to settle in the plaintiff's favor. Every person that comes forward increases the odds of the lawsuit winning.

If you have something in mind, but can't find a class action lawsuit, you can report your potential claim as well. To do this, you can find a reputable class action web site, or contact a class action lawyer yourself.

Signing Up For a Lawsuit

When you sign up for a current lawsuit, you will need to send some of your information to the team who is working on it. You can do this by contacting the team directly or filling out a form online. You will need to submit your first and last name, phone number, and the details about why you are joining.

Your case details will help with a couple following matters. For one, it will let the lawyer know if your damage entitles you to any of the money after the class action lawsuit is settled. Another thing it can do is give the lawyers another option for a test case. The test case is the case the lawyers use in the courtroom for the lawsuit. The lawyers will generally choose the person with the worst-case scenario who agrees to testify. It will show the judge what the product, procedure, or whatever the lawsuit is about can potentially do to someone.

Receiving Your Money

If you are already signed up for the class action lawsuit, you should receive a check to your address. However, you will not receive a check until a settlement is reached and the final amounts are processed after lawyer's fees. Some product companies will offer vouchers in a higher amount than the cash settlement if you choose to take those instead.

After a settlement is reached, you can still sign up for the class action lawsuit until it is deemed closed. For example, Cargill Inc. has to pay out 6.1 million in damages for advertising that their product Truvia is a natural sweetener. However, the lawsuit against them proved that there are significant amounts of chemically engineered and synthetic ingredients in Truvia. Anyone who signs up now can choose $45 in cash or $90 in vouchers.

Class action lawsuits are a wonderful way to let many people speak out against a similar issue with a product or company. Make sure you sign up for class action lawsuits that you are eligible to be a part of to ensure you receive the damages you deserve.

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15 January 2015

Car Accident Clues

It can be hard to know what to do to protect yourself legally in the immediate aftermath of a car accident. You’re liable to be disoriented or in shock, you may be injured, and you’re surely worried about your passenger or the other driver. At least, that’s how I felt. The thing is, the things you say and do in the immediate aftermath of an accident may affect a legal case later. Depending on who’s at fault and what the laws are in your state, you may want to sue the other driver for damages, or you may find yourself being sued. My blog is designed to give you tips for a car accident lawsuit, no matter which side you find yourself on.