Group litigation, or what is commonly known as a “class action” in some other jurisdictions, is a legal mechanism in England and Wales that enables multiple individuals with similar claims to group together to bring a case against one or more defendants. This approach is particularly beneficial when individual claims might be too small to pursue independently, allowing individuals, who are often known as claimants, to pool resources and streamline the legal process.
Understanding Group Litigation Orders (GLOs)
In the English legal system, group litigation is formally managed through a Group Litigation Order (GLO). A GLO is an order issued by the court to coordinate the management of claims that involve common or related issues of fact or law, referred to as “GLO issues”.
Initiating a Group Litigation Order
The process to obtain a GLO can be initiated by your solicitor or law firm involved in a claim, either before or after the claim has been filed. The application must demonstrate that the claims share common issues and that a collective management approach would be more efficient. The court then assigns a managing court to oversee the proceedings, ensuring consistency and coordination across all related cases.
Opt-In vs. Opt-Out Models
Group litigation in England and Wales primarily operates on an “opt-in” basis, meaning individuals must actively choose to join the collective action by registering their claims under the GLO. This contrasts with the “opt-out” system prevalent in some other jurisdictions, where all potential claimants are automatically included unless they explicitly withdraw. However, certain areas, such as competition law breaches, have in England and Wales adopted an “opt-out” approach, allowing collective proceedings to be brought on behalf of a defined group without requiring each member to opt in.
Advantages of Group Litigation
- Efficiency: Handling numerous similar claims collectively reduces duplication of efforts, streamlines court proceedings, and can lead to swifter resolutions.
- Cost-Effectiveness: Sharing legal costs among a large group of claimants makes pursuing justice more affordable for individuals.
- Consistency: A unified approach ensures that all claimants benefit from consistent legal representation and judgment outcomes.
Recent Developments and Notable Cases
Group litigation has gained prominence in recent years, with several high-profile cases underscoring its significance:
- Post Office Scandal: Hundreds of sub-postmasters were wrongfully accused of financial discrepancies due to faults in the Horizon IT system. A group litigation action led to significant settlements and highlighted the potential for miscarriages of justice in the absence of collective legal recourse
- Talc Scandal: Legal action was initiated in the UK against pharmaceutical giant Johnson & Johnson (J&J). The claim, led by KP Law, represents approximately 2,500 claimants. KP Law have been contacted by 4,000 potential clients in regard to the claim who allege that prolonged use of J&J’s talcum powder products, contaminated with asbestos, has led to various cancers, including ovarian cancer, mesothelioma, and peritoneal cancer
- Mastercard Settlement: A landmark class action lawsuit accused Mastercard of overcharging fees, leading to a proposed £200 million settlement in December 2024. If approved, millions of British consumers could receive compensation for overcharges spanning a 15-year period
Group litigation serves as a vital tool in the English legal system, empowering individuals to collectively seek justice against entities whose actions have caused widespread harm. By consolidating similar claims, it enhances access to justice, promotes judicial efficiency, and ensures that wrongdoers are held accountable on a broader scale.