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Sometimes businesses shortchange their customers, employees, and shareholders. If the practice is widespread enough, it may warrant filing a potential class action.

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What is a Class Action?

A class action is a type of lawsuit where many people who suffered the same harm have their rights decided in the same case. The plaintiff who is named in the complaint asks to be appointed the “class representative”. The named plaintiff must have suffered the same harm as the other class members and must be dedicated to protecting the class’s interests.

What rules apply to Class Actions?

Federal class actions are governed by Federal Rule of Civil Procedure Rule 23. State laws vary but most track the federal rule. The class must consist of many people who’ve been wronged in the same way, and the proposed class representative (the plaintiff on the lawsuit) and his/her lawyers must fairly protect the class. A class must also be manageable and preferable to individual trials.

Why Class Actions are important.

Federal class actions are governed by Federal Rule of Civil Procedure Rule 23. State laws vary but most track the federal rule. The class must consist of many people who’ve been wronged in the same way, and the proposed class representative (the plaintiff on the lawsuit) and his/her lawyers must fairly protect the class. A class must also be manageable and preferable to individual trials.

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