Group litigation lets people with similar legal complaints come together and seek justice collectively. The concept may seem a bit overwhelming for first-time claimants, but understanding the basics can help you feel more confident as you navigate the process. In this blog, we present ten must-know facts about group litigation, giving you all the information you need to make an informed decision before joining a group claim.
1. What group litigation is
Group litigation is a legal process whereby multiple individuals with similar complaints come together and file a collective lawsuit. For example, if thousands of people have purchased the same faulty product, rather than each person filing a separate lawsuit, they can join a group action.
This unified approach is beneficial as it consolidates evidence, pools resources, and amplifies the claimants’ voices, increasing the pressure on companies to resolve the matter. If the case is not settled and gets to court, lawyers will demonstrate the widespread nature of the issue, making it harder for the defendant to dispute the claims.
2. Eligibility: How to determine if you qualify
To join a group action, you need to meet certain eligibility criteria. Typically, you must have experienced the same or similar harm as the other claimants. For instance, if a faulty product is the basis for the litigation, you would need to prove you purchased that specific product and were affected in the same way as others in the group.
Join the Claim provides eligibility checkers – simple online tools to quickly determine if you qualify for an ongoing group action. If you meet the criteria, you’ll be invited to join the claim and submit any relevant details to support your case.
3. Costs and fees: Making group litigation more affordable
One of the biggest advantages of group litigation is that it spreads the costs among all claimants. This makes it more affordable than pursuing an individual legal action.
What’s more, law firms handling group litigation cases often operate on a no-win, no-fee basis (Conditional Fee Agreements or CFAs), meaning you don’t have to pay legal fees unless the case is successful. Because of CFAs, claimants benefit from high-quality legal representation without the financial burden of filing a lawsuit.
4. What you’ll pay if you win: Understanding success fees
One of the lesser-known facts about group litigation, is what you pay if you win. In collective actions, especially those run under no-win, no-fee agreements, claimants only pay legal fees if their case is successful. This makes group litigation accessible. However, it’s important to understand what you’ll pay if you win, as law firms often charge a success fee.
What is a success fee?
Law firms charge a success fee if a case results in a win or settlement. Although this fee sometimes seems high, it compensates firms for the risk they take by offering services without any upfront payment. The success fee is typically a percentage of the compensation awarded to claimants and can vary depending on the case.
Example of a 25% success fee under a no-win no-fee agreement
| If the case is won or settled | If the case is lost |
Upfront fees | £0 | £0 |
Success fee | 25% | N/A |
Compensation awarded | £10,000 | £0 |
Fees paid by claimant | £2,500 (deducted from compensation) | £0 |
Amount received by claimant | £7,500 | £0 |
Understanding the costs upfront can help you decide whether the potential compensation is worth the fees and time involved. Always check the terms with your solicitor before proceeding.
5. The role of lead claimants
If you’ve watched movies about class action lawsuits, you’ll know there is sometimes a lead claimant or plaintiff. This is a person who sues the defendant and represents the larger group. This person’s experience and evidence are often used as a test case to set the foundation for the entire group’s claim. Other class members are generally not required to participate actively in the proceedings, although they are still bound by the outcome.
In the UK, group litigation cases do not typically have a lead plaintiff. Instead, each claimant retains their individual status, meaning they must prove how they were affected. While there is no single representative in the UK, a few test cases may be selected to resolve common issues. The outcome of these test cases will apply to everyone within the group. Also, a small group of representatives may be appointed to make decisions on behalf of the wider group. This structure makes it easier for law firms to manage the collective action process while ensuring everyone’s interests are represented.
6. Compensation distribution: How it works
If the group action is successful, the compensation awarded will be distributed among all claimants. The distribution is typically based on the level of harm or loss each individual has experienced, ensuring each claimant receives fair compensation. Claimants may sometimes receive different amounts if their circumstances or damages vary significantly.
Law firms managing the group action will handle the compensation process, ensuring everyone receives what they’re entitled to. You might have to provide proof of your losses to ensure you receive the correct amount of compensation.
7. Length of time: Understanding the timeline
Group litigation cases can take longer to resolve than individual claims. This is because organising a large group, gathering evidence, and navigating the legal process for multiple claimants can be complex. It’s common for these cases to take several years to conclude, particularly if the defendant contests the claims. While this might seem like a long time, the advantage of group litigation is that it often offers a greater chance of success.
You should be prepared for the potential time commitment. However, despite the length of the process, your involvement is likely to be minimal. After providing evidence and confirming details about their situation, most claimants have limited day-to-day input or responsibilities. The legal team managing the case handles the bulk of the work, informing claimants of major updates and developments. This means you can pursue justice without any disruption to your daily life.
8. Evidence and documentation: Why it’s crucial
You’ll likely need evidence to support your claim when joining a group action. This might include proof of purchase, medical records, or other relevant documentation showing how you’ve been affected by the issue. This evidence helps prove your claim and may help strengthen your case. Your solicitor will guide you through the process of gathering and submitting evidence.
Law firms working on group actions may also engage external experts and barristers to build a strong, evidence-based case. These specialists will provide evidence and testimony to support your claim and maximise your chance of a successful outcome.
9. How legal support works
In group litigation, claimants are represented by professional solicitors who specialise in collective actions. These lawyers manage the entire process, from gathering evidence and filing the claim to communicating updates and representing the group in court. They act as the primary point of contact for all claimants, ensuring everyone is informed about the case’s progress.
10. What happens after a case is won or settled
If the group action is successful, the compensation process begins. Law firms managing the group action will oversee the distribution of funds, ensuring each claimant receives their share. You will be contacted to confirm your details and arrange payment, which may involve providing bank information or other relevant documentation.
If the case is settled out of court, the terms will be communicated to all claimants, who may need to agree to the conditions before the settlement proceeds. Often, to simplify this process, representatives will make a decision about whether to accept a settlement on behalf of the larger group.
In some cases, successful group actions also lead to systemic changes in business practices, ensuring similar issues are less likely to occur in the future. Settlements may also include non-monetary agreements, such as commitments from the defendant to change their business practices or provide additional support for those affected.
Pros and cons: Understand the facts about group litigation and balance your options
Deciding whether to join a group action involves weighing the potential pros and cons. The rewards can be substantial, with no-win, no-fee funding arrangements and a greater chance of compensation. However, the process can be lengthy, and there’s always a possibility the case may not succeed.
Things to consider before joining a claim
Understanding the key facts about group litigation – from eligibility and costs to evidence and timelines – can help you decide whether or not to join a claim.
- Are you eligible: Before joining, check if you meet the eligibility requirements for the claim.
- What are the costs: Even if it’s no-win, no-fee, check if there are any potential deductions from your compensation, such as a success fee.
- How long it will take: Be prepared for the case to take time, often several years, to resolve.
- What evidence you need: Having the right proof strengthens your case and ensures you’re eligible for compensation.
Ready to get started?
Once you know what to expect, you can make an informed decision. Visit Join the Claim today to learn more about group litigation and take the first step toward justice.
