What is a class-action suit?

A class-action suit is indeed a legal action taken by a few individuals on behalf of all who have suffered in a similar way. This type of lawsuit allows a group of people, who share common legal grievances against a defendant, to file a collective claim. By doing so, class-action suits serve multiple purposes, including efficiency in the legal process, as it consolidates many similar claims into one, and providing individuals with the opportunity to pursue justice when the damages they suffered may not be substantial enough to warrant individual lawsuits.

It also addresses situations where the actions of a corporation or entity have harmed a large number of people, but pursuing individual legal action may be impractical due to the cost and complexity involved. In this setting, a few representative plaintiffs can advocate for the rights of the whole group, making it easier for individuals to hold companies accountable for practices that may harm consumers, employees, or other affected parties.

The other options do not accurately represent the definition of a class-action suit. A legal action taken by an individual corresponds to cases where only that individual's claims are considered; a legal dispute resolved by a judge alone may refer to bench trials rather than class actions; and a legal document addressing housing issues is unrelated to the principles of class-action suits