HB449 VA enrolled

Civil actions filed on behalf of multiple persons; class actions.

privacy

Plain-English summary

1. **ONE-SENTENCE SUMMARY:** This bill allows groups of individuals to file class action lawsuits for violations of the Virginia Consumer Protection Act.

2. **KEY REQUIREMENTS:**
   - Be aware that consumers can join together to file class action lawsuits against your business for consumer protection violations.
   - Ensure compliance with the Virginia Consumer Protection Act to avoid potential class action claims.
   - Understand the process for class action certification and the role of appointed counsel.

3. **DEADLINES:**
   - The bill takes effect on **January 1, 2027**.

4. **PENALTIES:**
   - Businesses may face damages awarded to consumers if found in violation of the Virginia Consumer Protection Act, which could include significant financial penalties.

5. **SMB IMPACT:** Small businesses need to be proactive in understanding and complying with consumer protection laws to minimize the risk of class action lawsuits, which can be costly and damaging to reputation.

Source description

Civil actions filed on behalf of multiple persons; class actions; violations of Virginia Consumer Protection Act; award of damages. Provides that one or more members of a class may, as representative parties on behalf of all members, bring a civil action or may be proceeded against in a civil action, provided that (i) the class is so numerous that joinder of all members is impracticable, (ii) there are questions of law or fact common to the class, (iii) the claims or defenses of the representative parties are typical of the claims or defenses of the class, and (iv) the representative parties shall fairly and adequately protect the interests of the class. The bill further sets out the procedure to certify a class action, the duties of counsel appointed in a class action, the various orders a court may issue during the course of a class action, and the process by which a settlement, voluntary dismissal, or compromise may occur. The bill also applies the procedure by which an individual may be awarded damages in an action for a violation of the Virginia Consumer Protection Act to a class action. Finally, the bill permits the Court of Appeals to permit an appeal to be taken from an order certifying a class in accordance with the provisions of the bill or any other order that is not a final order of the circuit court in a class action. The bill has a delayed effective date of January 1, 2027. This bill is identical to SB 229.

Not legal advice. Summaries are generated by AI from publicly available bill text and may contain errors or omissions. Always consult counsel before making compliance decisions.