Dec. 09 blog 2–Class Action Lawsuit

A Class Action is a civil lawsuit submitted on behalf of several people at once who have been suffered damage or harm from a similar source. A class action must have at least one person from among the claimants who have been harmed by the conduct in question who is willing to act as a class representative (also known as a “lead plaintiff”).

A lead plaintiff is one or more persons appointed by the court to act as the representative of the class (the group of plaintiffs bringing the lawsuit). Any individual who belongs to a group of class action plaintiffs can apply to be appointed as a lead plaintiff within sixty days after a legal notice of the first class action suit has been published. The advantages of being a lead plaintiff include direct communication with the class action lawyers about the progress of the case and the ability to possibly influence the lawyers and, in turn, the outcome of the case. The disadvantages of being a lead plaintiff include being required to offer testimony at a deposition that will describe how the “lead plaintiff” was harmed.

It is, of course, perfectly acceptable to choose not to apply to be appointed as a lead plaintiff, as any individual who can show that they also suffered damages or harm from the same source are automatically considered part of the class action and are thus entitled to a share of any judgment or settlement that is obtained on behalf of the class. In a class action case, the plaintiffs’ lawyers are compensated from the common settlement fund in compliance with an order from the court in which the case is pending. Furthermore, the plaintiff’s attorneys are paid only if the case is successful.

Mueller Hillin specializes in Class Action cases in Philadelphia, Atlanta, Houston and Austin.