2024 witnessed some of the most notable class action lawsuits in the United States, ranging from accusations of antitrust violations to data breaches. The suits were brought not only in pursuit of monetary redress but also to ensure corporate accountability and consumer protection.
1. Blue Cross Blue Shield’s Antitrust Settlement
A US judge has granted preliminary approval to the $2.8 billion settlement between Blue Cross Blue Shield and healthcare providers in December 2024. The lawsuit, filed in 2012, alleged the company had committed antitrust violations through market allocation, denying competition and thereby inflating insurance costs while reducing the reimbursements to providers. The settlement requires BCBS to build a cloud-based platform for claim verification and tracking to give more transparency and efficiency in reimbursements.
A hearing for final approval has been set for July 16, 2025.
2. National Association of Realtors’ Commission Practices
In November 2024, the U.S. Justice Department’s antitrust division raised questions regarding a potential $418 million settlement with the National Association of Realtors that would end the practice in which home sellers pay commissions to agents representing the buyers, warning that some of the terms could bar competitive business practices by brokers. On responding, the association said it welcomed the settlement and urged its final approval.
3. Progressive’s Total Loss Claim Settlement
Progressive Marathon Insurance Company and Progressive Michigan Insurance Company agreed to pay $61 million to settle two proposed class action lawsuits in Michigan. The suits, among other things, alleged that the insurers wrongly excluded from total loss claim payments to policyholders certain fees prohibited by state insurance regulations.
4. ERISA Class Actions Over Tobacco Surcharges
A wave of class action lawsuits began challenging tobacco surcharge programs created within employer-sponsored health plans across the United States. The targeted alleged violations of fiduciary duties where plaintiffs argued that the surcharges placed upon premiums of the users of tobacco were impermissible under federal law, specifically in violations of the Employee Retirement Income Security Act (ERINA), the Affordable Care Act (ACA), and the Health Insurance Portability and Accountability Act (HIPAA).
5. Data Breach Settlements Affecting Consumers
The following companies have settled their class action data breach lawsuits in 2024:
- Green Valley Pecan Company: Those affected by the May 2022 data breach can claim as much as $4,400, including reimbursement of out-of-pocket expenses and major impacts such as fraud. Claims are due by December 16, 2024.
- Baer’s Furniture: Customers of these businesses whose personal info was exposed in a 2022 cyber attack may get up to $5,000. Claims must be filed by December 16, 2024.
- Bridgeway Center: Data breach victims in 2024 can receive up to $7,500. Claims must be submitted by December 26, 2024.
These settlements typically offer compensation for documented losses and provide services like credit monitoring to mitigate future risks.
6. Johnson & Johnson’s Talc Product Litigation
In May 2024, cancer victims filed a class action lawsuit against Johnson & Johnson (J&J), accusing the company of using fraudulent bankruptcies to evade responsibility for claims that its talc products caused cancer. The plaintiffs argue that J&J’s corporate restructuring placed billions of dollars out of reach, denying them their day in court. J&J maintains that its talc products are safe and free of asbestos. The litigation has resumed, with J&J recently ordered to pay $45 million in a mesothelioma case, though it won an ovarian cancer case.
7. Nvidia’s Securities Fraud Class Action
The U.S. Supreme Court appeared inclined to allow a class action lawsuit against Nvidia to proceed, as of November 2024. The lawsuit, initiated by a Swedish investment firm in 2018, alleges that Nvidia misled investors about its revenue dependence on cryptocurrency mining. Following a downturn in cryptocurrency profitability, Nvidia’s stock plummeted 28%, prompting the lawsuit. Nvidia contends that the case doesn’t meet the standards of the 1995 Private Securities Litigation Reform Act. A final decision from the Supreme Court is anticipated by early summer 2025.
In summary, 2024 has seen a series of impactful class action lawsuits addressing corporate misconduct across various sectors. These legal actions have not only provided financial redress to affected parties but have also prompted changes in corporate practices, underscoring the critical role of class action lawsuits in promoting corporate accountability and consumer protection.