Understanding Class Action and Multi-District Product Liability Litigation

Product liability cases arise when defective products injure consumers. These incidents often involve companies that operate across multiple states to make products for a wide range of consumers. The far-reaching nature of product liability cases often makes them appropriate for class action or multidistrict litigation. Not only are these options effective at saving litigation costs, they are sometimes the most appropriate strategies for compensation.

What is product liability?

Every year, defective products injure thousands of consumers. When these incidents occur, an area of legal practice called product liability sets guidelines for determining fault and compensating victims. Under this legal theory, liability for a defective product can lie with a variety of parties, including:

• The product designer. Liability may result if the design of the product caused its defect.
• The product manufacturer. Liability may arise from improper or negligent manufacturing of the product.
• Manufacturers of the product’s parts. For products with multiple components, manufacturers may be liable for providing defective parts.
• The wholesaler. Distributors can face liability for their role in the supply chain, as well as for failing to inspect products before providing them to retailers.
• The retail seller. Liability may derive from providing the consumer with the defective product.

Class actions and MDLs

In a class action lawsuit, a group of individuals with similar injuries from the same product work together to establish product liability and secure compensation from the responsible parties. This legal strategy is often used for cases involving minor injuries in which individuals are unlikely to bring a lawsuit on their own. When consolidated with other injured parties, the monetary value of the case increases, making it more worthwhile for the plaintiffs as a group. The class action designation is also useful in situations where vast amounts of injuries make individual lawsuits virtually impossible. For example, Samsung is currently facing multiple class action lawsuits in relation to its Galaxy Note 7 phone. Class members reside in different parts of the country, and individual lawsuits would place a burden on the courts, as well as delay litigation, as Samsung mounted a defense in each individual case.

MDL stands for Multi-District Litigation, a tactic implemented by Congress to relieve case backlog within the federal courts. It occurs when a panel of judges decides to consolidate groups of cases and transfer them to a specific court in a specific jurisdiction. According to the American Bar Association, MDL panels generally consider three points:

1. One or more common questions of fact
2. The convenience of the parties involved
3. Whether transferring the case will promote judicial efficiency and fairness

While there are numerous benefits to class action and MDL lawsuits, it is still vitally important to have a knowledgeable Georgia product liability lawyer protecting your rights and ensuring that your interests are being accurately represented.

The attorneys of Harris Lowry Manton LLP have extensive experience with class action and MDL cases. For more information, please call us at 407.998.8847 in Atlanta, at 912-651-9967 in Savannah, or fill out our contact form. With offices in Atlanta and Savannah, we are always nearby when you need skilled counsel and aggressive representation.