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Class Action Glossary

Plain-language definitions of the class action and settlement terms you will run into when checking whether you qualify and filing a claim.

C

  • Claim form A claim form is the document you submit to a settlement administrator to request your share of a settlement.
  • Claims Aggregator (Claim Farms and Third-Party Filers) Claims aggregator is an informal term for a business or service that helps submit settlement claims for multiple people, sometimes in large batches. The related phrase…
  • Class action A class action is a lawsuit where one or a few people sue on behalf of a larger group who were affected in a similar way.
  • Class Certification Class certification is the court’s formal decision that a lawsuit can move forward as a class action instead of as one person’s individual case. Until a…
  • Class member A class member is anyone who falls within the group of people a class action or settlement is meant to cover.
  • Class period The class period is the specific range of dates during which you must have been affected to qualify for a settlement.
  • Court-Authorized Settlement Website Court-authorized settlement website means a website identified in a court-approved notice plan for a particular class action settlement. It gives potential class members a central place…
  • Cy pres Cy pres refers to leftover settlement money that is donated to a relevant nonprofit or cause when it cannot practically be distributed to class members.

D

  • Documented Loss Learn what a documented loss means in a settlement claim, which records may support it, and why payment rules differ from one settlement to another.

F

  • Fairly Traceable Learn what fairly traceable means in federal standing and settlement claims, how it differs from proximate cause, and why official terms control.
  • Final approval hearing A final approval hearing is the court date when a judge decides whether to approve a proposed class action settlement.

L

  • Lost Time Payment (Time Spent) A lost time payment, sometimes called time spent compensation, is a settlement benefit that may reimburse eligible class members for reasonable time spent completing tasks covered…

M

  • Multidistrict Litigation (MDL) Multidistrict litigation, or MDL, is a federal procedure that consolidates many separate but related lawsuits — often filed by plaintiffs across different states — into a…

N

  • Named Plaintiff A named plaintiff is the person, or small group of people, whose name actually appears on a class action lawsuit. Also called the lead plaintiff or…
  • NAUPA NAUPA stands for the National Association of Unclaimed Property Administrators, a network within the National Association of State Treasurers that supports government unclaimed property programs and…

O

  • Objection An objection is a formal statement to the court by a class member who thinks a proposed settlement is unfair or should be changed.
  • Opt-out (exclusion) Opting out, also called requesting exclusion, means formally removing yourself from a class action so you keep the right to sue on your own.
  • Out-of-Pocket Losses Learn what out-of-pocket losses mean in settlement claims, which expenses may qualify, what proof may be required, and why each notice controls.

P

  • PAGA (Private Attorneys General Act) PAGA stands for the Private Attorneys General Act, a California law that lets an eligible employee seek civil penalties for certain Labor Code violations on behalf…
  • Payment Election Learn what a payment election means, which settlement payment methods may be offered, and what to check before choosing how to receive your money.
  • Pro rata payout A pro rata payout means the settlement money is split proportionally, so each valid claim is scaled up or down to fit the available fund.
  • Proof of purchase Proof of purchase is documentation, like a receipt or order confirmation, that shows you bought a product or used a service covered by a settlement.

R

  • Reasonable Documentation Learn what reasonable documentation means in a settlement claim, which records may qualify, and why the official claim instructions control.

S

  • Service Award (Incentive Award) Learn what a class action service award is, why courts scrutinize it, how it differs from class payments, and why availability varies.
  • Settlement administrator A settlement administrator is the neutral company a court approves to run a settlement, review claims, and send payments.
  • Settlement fund A settlement fund is the total pool of money a defendant agrees to pay to resolve a class action, which is then divided among eligible claimants.
  • Settlement Tiers Learn how settlement tiers divide benefits by eligibility or proof and why each settlement's official documents determine the available payment levels.

T

  • The “Do Nothing” Option Learn what the do nothing option means in a class action settlement and how it may affect payment eligibility, legal rights, and released claims.
  • Typosquatting (Lookalike Settlement Sites) Typosquatting is the practice of registering a domain name that closely resembles a legitimate website address, often by changing, adding, or removing a character or using…

V

  • Verification Notice Learn what a settlement verification notice means, why an administrator may send one, and how to confirm it is legitimate before responding.
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