What is class action litigation in the context of consumer fraud?

Class action litigation in the context of consumer fraud is when a large group of consumers who have suffered similar losses due to fraudulent activities by a business join together to file a single lawsuit against the business. This type of litigation can be used when a single consumer may not have the resources to pursue a lawsuit on their own due to the size and scope of the fraudulent activity. In Maryland, class action lawsuits are allowed under a few different statues, such as the Maryland Consumer Protection Act and the Maryland Consumer Fraud and Deceptive Trade Practices Act. The laws provide a way for many consumers to join together to file a single claim against a business that has committed fraudulent activities against multiple people. This type of litigation helps ensure justice is served for the many consumers who would otherwise be unable to pursue legal action on their own. In general, when filing a class action lawsuit in the context of consumer fraud in Maryland, plaintiffs must meet certain prerequisites such as having a large enough group of people affected by the same activity to form the class, having an established legal basis for the claims, and providing sufficient evidence to merit a trial. If the prerequisites are met, the claim would then move forward to trial. Class action litigation is an important tool for consumer protection and is an essential asset in the fight against fraudulent businesses.

Related FAQs

What is the Fair Debt Collection Practices Act (FDCPA)?
What is the role of the Consumer Financial Protection Bureau (CFPB) in consumer fraud?
What is the process for filing a complaint against a debt collector?
What is credit card fraud?
What is false advertising?
What are the different types of consumer fraud?
What is the burden of proof for consumer fraud lawsuits?
What consumer protection laws are available at the state level?
How can I protect my personal information from consumer fraudsters?
How do I choose a consumer lawyer?

Related Blog Posts

What Is Consumer Fraud Law? - July 31, 2023
How Can I Protect Myself from Consumer Fraud? - August 7, 2023
Understanding Your Rights Under Consumer Fraud Law - August 14, 2023
Important Steps to Take If You Believe You’re a Victim of Consumer Fraud - August 21, 2023
Uncovering Common Types of Consumer Fraud - August 28, 2023