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

Each case, which can be filed in either federal or state court, class action has its benefits. Because a limited number of witnesses overlap, the trial process inevitably moves along faster, while the overall cost of litigation tends to be lower than for one off plaintiffs filing alone.

Additionally, these types of cases also tend to have drawbacks. Before the lawsuit even moves forward, the prosecuting group must be named as a class. Federal courts, as well, can dismiss class actions if the defendants are state governments or officials or if the plaintiffs number less than {one hundred,100.

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