In the ongoing case against First American Title Insurance Company, the class certification is being fought by the company. First American is being sued for allegedly overcharging its customers for title insurance – in violation of the State of California statutes.
InsureTitleAgents.com explains that when a large number of plaintiffs alleging the same wrongdoing each file a lawsuit, these claims are often consolidated into a class action lawsuit. The “class” is comprised of each plaintiff seeking damages for the same error. It is more efficient for the courts – and faster for the plaintiffs – to hear a single class action than to hear 100 or more individual cases.
Class action claims are rare, but they bear the risk of being expensive to defend, and expensive if a company is found guilty. It is important to have the proper levels of insurance in place to deal with your firm’s specific risk profile. Contact us today to discuss ways to adequately protect your business.