What is a Class Action Lawsuit?
Mar 22, 2010
You may have received a letter in the mail stating that you’re a member of a class action lawsuit. Sometimes you didn’t even know you’ve been wronged. Some company with whom you’ve done business in the past is now being sued and you could stand to benefit.
Don’t toss the notice in the garbage before you find out everything you can about the lawsuit. Find out everything you can before you forget all about it. The best course of action is to talk to an attorney, but here’s some basic information you can look over before your scheduled appointment.
What’s the purpose of a class action lawsuit?
The reason to bring a class action lawsuit is to give the average person a level playing field when going up against the biggest companies that can afford to pay the best legal minds in the country.
How does a class action lawsuit work?
Once a problem is recognized and an attorney is hired, the company will be notified to correct the problem. If there’s no response, then the attorney can file one of these lawsuits on the client’s behalf. All parties who have similar claims against the company must be notified during a certain period of time. If others are found, oftentimes through mailings, they are added as parties to the case. There may be an agreement made by the parties to settle the case or it can end up in court with lots of documents and motions flying.
If a judge determines the company did nothing wrong, the plaintiffs get nothing and cannot sue again. If the plaintiffs win, then a judge will order the company to pay restitution and that the company notify people that a claim can be made to the pool of money the company is forced to pay.
What can I gain from joining one of these suits?
You should keep in mind that the individual plaintiffs may not get a windfall of cash, but the company will have to pay for the problems it has caused.
How can I pay my bills if I lose money from the problem caused by the company?
There is a clear option for anyone who needs money now from a lawsuit they are going to win in the future. It’s called lawsuit funding and it’s offered by many online funding companies.
Lawsuit Hotline offers advances, which are also called “lawsuit advances,” for pending and settled lawsuits at competitive rates. Its funders have a pool of money that is used to provide these loans to people needing anywhere from $500 to more than $1 million.