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Consumer Class Actions

Consumer Class Actions

What Is a Consumer Class Action?

Over the years, innumerable businesses have resorted to underhanded practices designed to trick or take advantage of consumers in order to increase profits. While such cases involving banks, major corporations, and financial service providers are the ones that generate a lot of publicity and result in multi-million-dollar settlements, any provider of goods or services can be guilty of defrauding consumers. Other common types of businesses that have been known to engage in deceptive practices include (but are by no means limited to) the following:

  • Gyms and fitness clubs
  • Nursing homes
  • Automobile manufacturers
  • Producers of electronics and software
  • Grocery store chains

When Consumer Class Actions Are Necessary

Companies can take advantage of their consumers in a myriad of ways. Unfortunately, most of them are well-concealed and go unnoticed by many consumers until they have already become victims. However, when a consumer or group of affected consumers notices that they have been manipulated or taken advantage of by a company, a class action provides them the opportunity to pursue recompense. Offenses that would warrant a consumer class action include:

  • Deceptive sales tactics
  • Bait-and-switch marketing
  • Illegal charges to clients’ accounts
  • Unauthorized withdrawals
  • Forcing consumers to unlawfully waive their rights
  • Unfair or misleading contract provisions
  • Illegal or unethical use or sharing of consumer data
  • Inaccurate credit reporting
  • Criminal background check errors
  • Selling defective devices (this can include products of any kind, from automobiles to computers to kitchen appliances)

 

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