What is a class action arbitration?

A class action arbitration is a type of legal action in which a group of people collectively bring a claim to court, or in the case of arbitration, to a dispute resolution body. In South Carolina, class action arbitration is used when a large group of people have similar legal claims, such as when a company has caused harm to a large group of people in similar circumstances. In such cases, it would be more efficient for each individual to join together in a single claim rather than bringing separate claims. In a class action arbitration, each individual in the group is treated as a single “class” or group. The arbitration process for class action claims is similar to a regular arbitration but it involves additional steps in order to accommodate the needs of the entire class of people. For instance, the arbitrator must find that the claims are sufficiently similar to justify bringing a class action and the arbitrator may require that all parties be notified of the class and invited to participate. Class action arbitrations can provide a faster and more cost-efficient way to resolve legal disputes affecting a large group of people, especially in situations where it would be inefficient or impossible to bring separate claims. In South Carolina, class action arbitrations are allowed provided certain requirements are met and the parties agree to the process.

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What is a class action arbitration?

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