Despite recent Supreme Court and lower-court rulings that have favored employers in class-action lawsuits brought on behalf of workers, there’s no room for complacency among top corporate executives over the potential for such legal actions to wreak financial havoc on companies.
That’s according to Gerald Maatman, co-chair of the class-action defense group at law firm Seyfarth Shaw and author of the firm’s tenth annual, 819-page “Workplace Class Action Litigation Report,” which analyzes 1,123 class-action rulings in 2013.
“In the past two years we’ve seen a combination of Supreme Court decisions help create a defensive barrier for employers in class-action cases,” says Maatman. “However, plaintiff lawyers have begun to breach this barrier with new theories and approaches. That, combined with increasing and aggressive government enforcement litigation, means employers may once again find themselves facing ‘bet-the-company’ class actions in 2014.” That’s a reference to lawsuits large enough to force a company to change its business model or, in a worst-case scenario, bankrupt it.
Marc Primo Pulisci is a Los Angeles based attorney practicing with Initiative Legal Group. Marc Primo Pulisci has been practicing law for over 10 years. Find Marc on Marc Primo Twitter, Marc Primo Manta, Marc Primo Facebook, Marc Primo Squarespace, Marc Primo Pulisci Dot Com, Marc Primo Dot Com Marc Primo Blog Marc Primo Pulisci Blog, Marc Primo Tumblr, Marc Primo Pulisci Tumblr Marc Primo Myspace