What is the difference between a class action arbitration and a class action lawsuit?

A class action arbitration is an alternative dispute resolution (ADR) method in which a single arbitrator or a panel of arbitrators is appointed to resolve a dispute between two or more parties. The parties involved in the dispute agree to waive their right to sue and instead use arbitration to resolve their issues. In a class action arbitration, a group of individuals come together to bring a dispute against a single defendant. All plaintiffs in the dispute agree to the terms of the arbitration and submit their claims together. A class action lawsuit is a type of civil lawsuit in which one or more parties sue another party on behalf of a larger group of people, referred to as a “class.” In a class action, each member of the class is treated as though they were an individual party filing a separate lawsuit. The court will then appoint a representative plaintiff who will act as the lead plaintiff for all of the class members. Class action lawsuits can be filed in any court, state or federal, in California. The main difference between a class action arbitration and a class action lawsuit is who decides the outcome of the dispute. In a class action arbitration, the arbitrators have the final say in the outcome of the dispute, while in a class action lawsuit, the court will issue a ruling on the matter. In both cases, the group of plaintiffs must come to an agreement, but in a class action lawsuit, the court will issue a ruling based on the merits of the case.

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What is the difference between a class action arbitration and a class action lawsuit?

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