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Finance: What is a Class Action Lawsuit? 9 Views


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Description:

What is a Class Action Lawsuit? A class action lawsuit is one in which the plaintiffs of record represent a large group of parties claiming injury that might not have the resources or time to pursue the suit individually. Oftentimes, due to the size of the case, the lawyers representing the plaintiffs will work on a fatter contingency instead of a retainer.

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Transcript

00:00

Finance, a la shmoop. What is a class-action lawsuit? Okay there's a

00:08

class of victims wronged they took a drug that was supposed to grow hair on [People with beards looking angry]

00:14

their heads and it grew hair virulently only everywhere but their heads. All of

00:21

these victims gather their sufferings together and hire a team of lawyers who [Group of people putting money together]

00:26

then file as a class or group a lawsuit against the makers of that hair growth

00:31

drug who wronged them. Well that class action is done so that each individually

00:36

wronged, hairy person, doesn't have to separately hire their own lawyer and

00:41

file the expensive paperwork and so on to seek justice they wouldn't have been [Each person paying a seperate lawyer]

00:46

able to seek justice if each of them had to foot the bill for the likely 812

00:52

dollars in damages each, that doesn't buy you even a decent cup of coffee at a [The group are given bills by their lawyers]

00:56

lawyer's office for an initial set of meetings these days, so yeah instead with

01:01

a class-action lawsuit everybody's one consolidated class of plaintiffs and

01:07

when the suit is settled well they all share collectively in the booty and [Group of people looking and holding their money]

01:11

let's just hope that booty has been thoroughly waxed. [Man getting his butt waxed]

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