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As a general rule, class action lawsuits involve a large group of people in some capacity: A collective class, even bound together over the issue of a misrepresented product, suing a defendant, or a group of defendants, individual negligent companies, for instance, being sued by a single person. While more class action lawsuits are filed for product liability claims, other case types end up in court, too, including shareholders suing for fraud, employees for discrimination, and residents over environmental disasters.

With a case, which can be filed in either federal or state court, class action lawsuits has its pluses. Because fewer witnesses overlap, the trial process inevitably moves along more efficiently, while the overall cost of litigation tends to be lower than for individual plaintiffs filing alone.

On the other hand, these types of cases do tend to have drawbacks. Before the class action even moves forward, the collective group must be named as a class. Federal courts, as well, can dismiss class action lawsuits if the defendants are state governments or officials or if the plaintiffs number less than The Free …
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