Class-action lawsuits let a group of people with the same problem join forces to take on a company that caused harm.
These lawsuits also push companies to follow the rules. If they know they could face a big lawsuit, they’re less likely to be negligent. To learn more about how these cases hold companies accountable, you can visit litigationconnect.com for clear and helpful information.
To understand how class-action lawsuits work, you need to know some important terms. Most of these terms are explained in Rule 23 of the Federal Rules of Civil Procedure, which sets the rules for these cases.
But, to save time, we’ve drawn up a list of the most important ones you are likely to come across.
Appeal
An appeal is when one side in a class-action lawsuit asks a higher court to review a decision made by a lower court. This happens if they think the judge made a mistake, like misinterpreting the law or missing key details.
An appeal doesn’t start the case over or introduce new evidence. It only checks if the original trial was handled correctly. If the higher court finds an error, they can change the decision or send the case back to fix the issue.
Representative Plaintiff
A representative plaintiff is the person who leads a class-action lawsuit. They represent the entire group of people suing the company, even though only one person (or a few) is handling the legal side of things.
This person’s role is to make sure the case moves forward and that the interests of the whole group are considered. They don’t need to be an expert in law just someone who is in the same situation as everyone else in the class.
Contingency Fee
A contingency fee is when a lawyer only gets paid if they win the case. Instead of paying the lawyer upfront, they take a percentage of the money awarded to the group if the lawsuit is successful. If the case doesn’t win, the lawyer doesn’t get paid anything.
Certification
Certification is the process where the court decides if a class-action lawsuit can move forward. The judge checks if enough people are affected and if their cases are similar enough to be handled together.
Once the court approves it, the lawsuit can represent everyone in the group, and they can recover damages if the case wins. Without certification, the case can’t move forward as a class action.
Absent Class Member
An absent class member is someone who is part of a class-action lawsuit but isn’t actively involved in the case. They’re affected by the issue but don’t have to participate directly.
They can still get damages if the case wins. If they don’t want to be part of the lawsuit, they can choose to opt-out and won’t receive any damages, but they also won’t be part of the case anymore.
