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As a general rule, class action lawsuits involve a large group of people in some capacity: A collective class, formed together over the issue of a faulty product, suing a defendant, or a group of defendants, multiple negligent companies, as an example, being sued by an individual. While more class action suits are filed on behalf of product liability claims, other case types end up in court, too, including shareholders suing for corporate fraud, employees for discrimination, and residents over environmental disasters.

Each case, which can be filed in either state or federal court, class action has its benefits. Because less witnesses overlap, the trial process understandably moves along more efficiently, while the overall cost of litigation tends to be lower than for separate plaintiffs filing alone.

On the other hand, these types of cases also tend to have drawbacks. Before the lawsuit even progresses, the prosecuting group must be defined as a class. Federal courts, as well, can stop class actions if the defendants are state governments or officials or if the plaintiffs number less than {one hundred,100.

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