Consolidation of lawsuits may be ordered by a court when two or more lawsuits involving the same or similar parties (plaintiff and defendant), legal issues, and factual issues are pending in the same court or in different courts in the same jurisdiction (state court system or federal court system). If the lawsuits are pending in different courts one case may be transferred to the other court, and the cases consolidated there.

Laws and rules regarding the consolidation—or transfer and consolidation—of lawsuits vary from state to state and in the federal court system.

In Arkansas, the consolidation of lawsuits is governed by the Arkansas Rules of Civil Procedure, specifically Rule 42. This rule allows for the consolidation of actions when there are common questions of law or fact to promote convenience and avoid unnecessary costs or delay. The court has the discretion to order a joint hearing or trial of any or all matters in issue in the actions, or it may order all the actions consolidated, and it may make such orders concerning proceedings therein as may tend to avoid unnecessary costs or delay. Additionally, if cases are pending in different courts, a transfer may be ordered to consolidate the cases in one court. The decision to consolidate is at the discretion of the court and is typically based on the goal of judicial efficiency and the reduction of the possibility of inconsistent verdicts. It's important to note that while state courts follow their own rules, federal courts operate under the Federal Rules of Civil Procedure, which also provide for consolidation under Rule 42. The specific procedures and requirements for transferring and consolidating cases may vary and are subject to the interpretation and orders of the courts involved.