When consumers of the victim of unfair or deceptive business practices or are harmed by a product that they purchased, a group of injured individuals can band together and file a consumer protection class action lawsuit against the party that harmed them. There are several types of consumer class action lawsuits that involve consumers, namely deceptive business practices class actions, products liability class actions, and price-fixing class actions.
Deceptive Business Practices Class Actions
Businesses can engage in a number of deceptive business practices that negatively and unfairly impact consumers. Most of these dishonest business practices take advantage of consumers and cheat competitors out of sales they would have otherwise made. Some common deceptive business practice class actions concern matters such as:
- False advertising. False advertising is one of the most common deceptive business practices that consumers file class actions for. Effectively, a company markets a product as having a special feature or ability, but when consumers purchase the item, the item does not function as promised. The false advertising entices consumers to make the purchase, and defrauds consumers by not making good on marketing claims.
- Bait and switch marketing techniques. Akin to false marketing, a company might promise a product having certain features or properties, but once the consumer makes the purchase, a different, often inferior product is given to the consumer. The consumer is not getting what was paid for or promised.
- Shady accounting techniques. There are a number of companies that take advantage of consumers by regularly engaging in dishonest accounting activities. Some examples include a lending company holding payments and not processing them in a timely manner so that accounts can accrue interest, adding in unjustified fees and surcharges to a consumer’s bill, or charging consumers for products or services they never received.
Products Liability Class Actions
When a product is defective, meaning that it is made poorly or designed in a flawed way, consumers who buy the product can get hurt. Products liability class actions are used by consumers to hold manufacturers liable for the defective products that they sell to the unsuspecting public. Injured consumers can sue for the injuries that they sustain from the defective product.
Price Fixing Class Actions
Consumers are injured when suppliers or vendors collude and conspire to artificially inflate the price of goods or services. Not only is price-fixing illegal under federal antitrust laws, but it takes advantage of businesses and consumers who are purchasing the price-fixed good or service. Price-fixing class actions often involve a number of colluding defendants that engaged in and benefited from the price-fixing scheme and those who are injured by price-fixing may be able to recover up to three times what they were overcharged.
A class action is often the best way for a large group of injured consumers to obtain the justice and compensation that they deserve when they are tricked or harmed by businesses. Class actions are generally complicated due to the large number of potential victims, and there are special rules that govern class action lawsuits.
Contact A New York Consumer Class Action Lawyer
If you are harmed either financially or physically while acting as a consumer, you and all the other injured consumers may benefit from a consumer class action lawsuit. Contact a class action lawyer at the Bromberg Law Office, P.C. today to schedule an appointment.