Friday, February 13, 2015

"Ask a Lawyer" - Class Action Notices in the Mail?


We received a lengthy question about Class Action lawsuits and the notices we all receive in the mail that tell us we may be eligible for a settlement.  This week we address what to do with these notices and what to do you if think you have a legal issue that might be a good class action.

A class action lawsuit is an action in which a large group of people file suit for similar grievances. These are often consumers with similar complaints resulting from a defective product or unfair business practice, or employee groups who face similar injustices relating to their job. The lawsuit is filed on behalf of everyone in the class. To be part of a class action, the plaintiff must show that his or her experience with the defendant is similar to that of other people in the class. Plaintiffs must also show that the evidence against the defendants is similar for everyone in the class and that individual lawsuits against the company would not be an efficient use of the court's time, nor would it be cost-effective.

How is a class action different from a mass tort or an ordinary lawsuit?
In a mass tort, a defendant is sued by a large group of people, but those people  retain their individual lawsuit rather than becoming part of a "class." An attorney can represent multiple injured parties in their individual cases and plaintiff's lawyers can share information. Defective drug lawsuits are often mass torts because plaintiffs may have suffered different damages from the drug—for example a person taking a drug may have suffered a fatal heart attack while another suffered a minor stroke—and based on their different injuries, their awards would likely be different.

Can I use my own lawyer in the class action lawsuit?
Yes—if you “opt out” of the class in writing as the claim notice directs.  If you join the class—or do not “opt out” of it—then you will be represented as part of the class and lose the option to file an individual lawsuit.

Is my complaint too small (financially) for a class action?
It depends on how many other people were harmed. For example, if you lost $100 to improper billing by a company, that is probably too small for you to go to court over. However, if 1,000 people suffered the same damage, that is $1,000,000 and would make a class action lawsuit worthwhile.

I don't understand my Class Action Notice of Proposed Settlement—what am I supposed to do with it? Where do I go for help?
Your Class Action Notice of Proposed Settlement will list a Claims Administrator—and usually a toll-free phone number or website address where you can find information about the class action lawsuit and the terms of the proposed settlement.

I submitted a claim for a class action settlement, but haven't heard anything since. Why is it taking so long? I thought I'd have a check in the mail by now.
Because a class action lawsuit typically involves hundreds or thousands of claimants, it can take several months for settlement funds to be dispersed.

Does my complaint affect enough people to make a class action worthwhile?
It's difficult to know until you contact a lawyer to discuss your legal options. With some drugs and medical devices, lawyers have a good idea from the outset of how many people are affected. If you have a complaint against a company, your best bet is to discuss your options with a lawyer.  The most common types of cases involving a “class” are Consumer Protection Class Actions, brought against those who violate laws that protecting consumer rights, such as scams, false or misleading advertising, faulty services, contract violations, or inadequate disclosure of contract terms. These include actions brought against insurance companies, telephone/internet providers, loan providers, banking and credit card companies, and manufactures of defective products.

The attorneys at Nelson, Bryan & Jones represent claimants in Class Action litigation.  Give us a call for a free consultation or if you have any questions about claim forms you receive.  We would be happy to help.


Please send the questions to:
Ask the Attorney
P. O. Box 2309, Jasper, AL 35502
205-387-7777
or email to Bob@NelsonBryanJones.com


No representation is made that the quality of legal services to be performed is greater than the quality legal services performed by other lawyers.

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