Class Action Lawsuits – An Overview
The American justice system is designed to be as fair and efficient as possible, to the benefit of both plaintiffs and defendants. How, then, do the courts handle incidents in which hundreds or even thousands of people are injured by an act of negligence committed by a single party? It would be unreasonable to both the injured victims and the individual or group responsible for the injuries to try each case individually. In order to protect the rights and interests of all parties, courts allow for class action lawsuits to be filed on behalf of multiple parties who were harmed financially or physically by a single act of negligence. While this may limit the amount of compensation that each individual may be able to obtain, it ensures that all injured parties will be able to recover some compensation within a reasonable period of time.
Most commonly, class action lawsuits are filed against the manufacturers of defective or unreasonably dangerous products. At present, for example, thousands of people who were harmed by or lost loved ones to the prescription drug VIOXX® have joined suit against the drug’s manufacturer, Merck. Also common are lawsuits filed by employees who have been wronged by the negligence of their employers, such as the numerous class action lawsuits filed against Walmart by employees claiming that they were forced to work unpaid overtime. In this latter case, as in most personal injury cases, the claim was resolved out of court, with Walmart agreeing to a settlement of approximately $640 million to be divided amongst the plaintiffs.
In most aspects, class action claims are beholden to the same regulations and restrictions as any other personal injury claims. The claims are subject to statute of limitations (time limits within which claims must be filed) and the same burden of proof on the part of the plaintiff’s attorney. The defendant’s negligence must be proven, and a direct correlation must be made between that negligence and the injuries suffered by the plaintiffs.