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10-3903 Lady Di’s, Inc., v. Enhanced Services Billing, Inc.
Civil Procedure Class actions
09-1205 Smith v. Bayer Corp.
Civil Procedure Class actions; privity A denial of class certifications is not binding on unnamed putative class members. The District Court’s injunction was independently improper because Smith was not a party to the federal suit and was not covered by any exception to the rule against nonparty preclusion. Generally, a party “is ‘[o]ne by or […]
09-1403 Erica P. John Fund, Inc. v. Halliburton Co.
Securities Securities fraud; class actions; loss causation Securities fraud plaintiffs need not prove loss causation in order to obtain class certification. It is undisputed that securities fraud plaintiffs must prove certain things in order to invoke Basic ’s rebuttable presumption of reliance. According to the Court of Appeals, EPJ Fund had to prove the separate […]
10-3672 Sawyer v. Atlas Heating and Sheet Metal Works, Inc.
Civil Procedure Statute of limitations; tolling; class actions Where a plaintiff in a proposed class action in state court voluntarily dismisses the case, the statute of limitations is tolled during the period the suit was pending. “Sawyer did not have any way to prevent Park Bank from dismissing the original suit—nor did the state court […]
10-8050 CE Design Limited v. King Architectural Metals, Inc.
Civil Procedure Class actions Where doubts about a named plaintiff in a class action threaten the interests of the rest of the class, it was error to certify the class. “The record raises serious doubts concerning the truthfulness of Pezl’s testimony about his familiarity with the terms of the contract with the Blue Book. The […]
Future of class actions in play
When the U.S. Supreme Court rules in the case Wal-Mart Stores v. Dukes, it will not only decide whether more than 1.5 million female Wal-Mart workers can proceed as a class in a lawsuit alleging that the company systemically paid them less than male employees.
09-1725 Kartman v. State Farm Mut. Ins. Auto. Ins. Co.
Civil Procedure Class actions It was improper to certify a class action against an insurer on behalf of insureds seeking an injunction. “This case is not appropriate for class certification under Rule 23(b)(2). As an initial matter, the plaintiffs’ claim for injunctive relief suffers from some serious conceptual confusion. This is a suit for breach […]
09-3029 Ervin v. OS Restaurant Services, Inc.
Employment FLSA; class actions Employees who institute a collective action against their employer under the terms of the FLSA may at the same time litigate supplemental state-law claims as a class action certified according to FRCP 23(b)(3). “We conclude that there is no categorical rule against certifying a Rule 23(b)(3) state-law class action in a […]
10-1154 In re: Trans Union Corp. Privacy Litigation
Civil Procedure Class actions; attorney fees The special master in a class action arbitrarily reduced attorney’s fees. “The 12 percent figure was plucked out of a hat, and a hat with three holes in it: the unresolved comparison with securities class actions, the arbitrary reduction in attorneys’ fees for the nonpecuniary relief, and the perfunctory […]
10-8035, 10-8036, 10-8039, 10-8040, 10-8041, 10-8042 & 10-8048 Koral v. Boeing Co.
Civil Procedure Class actions; removal Individual suits cannot be removed to federal court based only on an expectation that the cases will be consolidated into a class action. “The proposal must be to the court in which the suits are pending, but if the plaintiffs’ statement to the state court that we quoted was a […]
10-cv-229 Wilder Chiropractic, Inc., v. Pizza Hut of Southern Wisconsin, Inc.
Civil Procedure Class actions; mootness In the context of a class action, a defendant cannot moot the case by settling with the named plaintiff before it moves for class certification. “It would make little sense to fashion a rule that would allow the fate of a case to be resolved by a race to the […]
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