Pros and Cons of Filing a Class Action Lawsuit 

By on December 7th, 2023

Pros and Cons of Filing a Class Action Lawsuit

When multiple employees are affected by violations of employment law, these workers may consider filing a class action lawsuit to seek relief. A class action lawsuit is a suitable option that involves a large-scale violation that affects a group of people. This type of lawsuit may allow employees to force an employer to cease unethical or discriminatory practices in the workplace.

Still, it is worth noting that whether class action lawsuits are worth it depends on your unique situation. We’ve outlined the pros and cons of joining a class action lawsuit to determine whether this type of lawsuit may benefit you.

Pros of Class Action Lawsuits

Choosing to file a class action lawsuit is an important litigation decision to make. Here are some of the biggest advantages of joining a class action lawsuit.

Reduce Employer Retaliation

While federal and state laws prohibit employers from retaliating against employees who exercise their legal rights, workers still hesitate to file employment complaints due to employer retaliation. When employees come together to file a class action lawsuit, it may reduce the chances of retaliation. These lawsuits only name the lead plaintiffs, allowing other employees to receive less attention. Lawsuits may also make it more noticeable when employers retaliate against lead plaintiffs.

Minimize Illegal Employment Practices

The aim of a class action lawsuit is to stop illegal employment practices. When multiple employees share the same claim against the same individual or entity, it creates greater certainty and increases the chances of them minimizing illegal practices against the affected employees. The lawsuit also helps ensure future employees are free from these unlawful practices, creating a fairer and safer workplace.

Lower Litigation Costs

Another advantage of class action lawsuits is that class members may divide litigation costs, where each member may rest assured that they can pay reduced class action legal fees. This makes it a suitable option if you lack the money to pay for an individual claim.

Improved Judicial Efficiency

Rather than numerous individuals filing individual lawsuits, employees can file one litigation case. A class action lawsuit may be more suitable if you wish to reduce the court time. This also allows employees to use one judge instead of several, helping you improve efficiency and potentially helping you and other employees see faster results in the workplace.

Opportunity to Gain Relief for Small Claims

Opportunity to Gain Relief for Small Claims

When you make a claim against your employer for a small amount, it’s likely your litigation costs may add up to more than the amount of your damages. If you and your colleagues have similar small claims, a class action lawsuit might help you seek relief and reduce costs for all affected employees.

Cons of Class Action Lawsuits

While there are great advantages of class action lawsuits, there are some notable drawbacks to consider to help you decide whether you should file.

Less Control Over Lawsuit

In a class action lawsuit, only the lead plaintiffs and their attorneys make the significant decisions, such as when to settle a claim or engage in court proceedings. The lead plaintiffs act as the representatives, giving other class members less of a say in litigation decisions. If you do want to have more control over what influences the outcome of the lawsuit, you may want to opt to become a lead plaintiff.

Limited Compensation

The settlement you receive for a class action lawsuit may be less than enough to fully compensate all affected members for damages they incurred. You may also mainly receive financial compensation, rebates or coupons for future services rather than other types of compensation. If you experienced severe harm as a result of illegal employment practices and are seeking a higher amount or different type of compensation, you might benefit more from an individual claim with an experienced law firm.

Takes Longer to Settle

While you may be able to streamline the process with a class action lawsuit, it could still take a long time to resolve your claim. This is because several plaintiffs may create complications that require a specialized process, causing your class action lawsuit to take years to settle and complete. One class action lawsuit even took 26 years of litigation before concluding. If you require immediate results or compensation, you may opt to file an individual lawsuit for potentially faster results.

Challenging to Reapply Claim

The most significant disadvantage of class action lawsuits is that, if the lawsuit fails, you may find it challenging to appeal again as a class or individually. This means that you and other class members may be unable to file individual lawsuits against the employer for their behavior. This makes it essential to ensure the class action lawsuit has class representatives with strong claims and an attorney who is well-versed in similar cases.

Should You File a Class Action Lawsuit?

To determine whether class action lawsuits are worth it, you need to consider the different factors of your unique situation along with the pros and cons of class action lawsuits. Do you prefer to benefit from becoming a lead plaintiff? This allows you to have a greater say in a highly important case and lets you contribute to policy changes for the betterment of the workplace. Alternatively, you could benefit as one of the class members, allowing you to add to the uniformity of the claim.

You may also want to consider other affected employees. If you know that others have had similar experiences to your own either as the result of the same transaction or employer, you may find it beneficial to seek compensation and minimize costs through a class action lawsuit. This may particularly be suitable if each affected employee finds it challenging to keep up financially. More employees may even realize they experienced something similar along the way and join.

Whether you choose to become a representative of a class action lawsuit or join one as one of many members, these lawsuits may be a good way to get an employer to compensate affected individuals and take responsibility for their actions.

Seek Assistance From Weisberg Cummings, P.C.

Class action lawsuits may be beneficial if you are looking for a way to seek relief against a strong contender who has caused harm to other employees in a similar way. Even so, it is equally important to consider the cons of class action lawsuits to determine whether it is something you would like to pursue.

Our legal professionals at Weisberg Cummings have over 40 years of combined experience in employment law. We aim to assist clients in Pennsylvania through effective representation to help retain the rights and livelihoods of our neighbors. Whether you believe the best course of action is a class action lawsuit or you need help making a decision, we encourage you to schedule a free consultation today.

Seek Assistance From Weisberg Cummings, P.C.