Putative Class Actions

News & Analysis as of

Arbitration Fireworks: Three Federal Circuits Refuse To Compel Arbitration

Three federal appellate courts recently affirmed lower courts’ refusal to compel arbitration. These cases show that the federal policy favoring arbitration is not absolute – the parties must have agreed to arbitrate the...more

Certification Unhealthy: Ninth Circuit Vacates Order Certifying Class of Dietary Supplement Purchasers

The Ninth Circuit vacated a class certification order issued by the Central District of California, finding that common issues did not predominate because plaintiff had failed to demonstrate that the alleged misrepresentation...more

A Year Later: The Impact of Halliburton II Is Still Developing

In June 2014, the Supreme Court issued its decision in Halliburton Co. v. Erica P. John Fund Inc. (“Halliburton II”), a putative class action in which Halliburton investors alleged that the company made misrepresentations...more

Consumer Food Fraud Claim Sinks in Arkansas Safe Harbor

On this date in 1896 the Dutch completed the harbor at IJmuiden. (That capital J is not a mistake. The I and J go together as a digraph, and they form a ligature that effectively makes up a single letter in the Dutch...more

“And the Plaintiffs Don’t Have to Sue My Competitors Because? . . . .”

One of the pet peeves of antitrust defendants is that the joint-and-several liability rule often means that plaintiffs can pick and choose which defendants to sue. (Plaintiffs will say – that’s a design feature of the...more

Facial Recognition Technology: Social Media and Beyond, an Emerging Concern

This week, a major self-regulatory initiative intended to address privacy concerns associated with facial recognition technology hit a significant stumbling block. Nine consumer advocacy groups withdrew from the National...more

District Court Rejects Lender’s Motion to Dismiss in Ongoing Litigation with CFPB

On June 12, the United States District Court for the Eastern District of California denied Castle & Cooke Mortgage’s motion to dismiss in a putative class action brought by affected borrowers stemming from Castle and Cooke’s...more

Statutory Accounting Fraud Under RICO

Echoing New York’s regulatory criticism concerning the use of captive reinsurers and similar allegations in recent class actions filed against several New York life insurers, an annuity contract owner has filed a putative...more

The Insurance Examination Privilege Just Became Important

When a U.S. insurance regulator investigates market conduct or financial solvency, its work is governed by a state law based on the NAIC Model Law on Examinations. Like the Model Law, all state laws strictly protect the...more

For Here or To Go? Senators Introduce Bill to Ban Noncompete Agreements, Increase Mobility For Sandwich Makers and Other Low-Wage...

Congress is getting into the non-compete business.  Citing the use of non-compete agreements by companies such as Jimmy John’s sandwich shops, Senate Democrats recently introduced a bill—called the Mobility and Opportunity...more

The Class Action Chronicle - Summer 2015

In This Issue: - The Fairness in Class Action Litigation Act of 2015 - Class Certification Decisions: ..Decisions Granting Motions to Strike/Dismiss Class Claims ..Decisions Denying Motions to...more

Nevada Federal District Court Follows National Trend, Dismisses Data Breach Class Action for Lack of Standing

In granting a motion to dismiss a data breach putative class action lawsuit, the District of Nevada joined the majority of federal district courts in holding that plaintiffs whose personal information was stolen lack Article...more

A Tale of Two Annuities: Exchange of Variable for Fixed Annuity Integral in SLUSA Dismissal

After attending an annuity seminar, Robert and Diane Ruud exchanged their variable annuity for a fixed annuity sold by PHL Variable. According to the Ruuds, seminar provider John Friendshuh represented the fixed annuity as...more

Second Circuit Decision Could Disrupt Secondary Market for Bank-Originated Loans

A May 22, 2015 decision by the U.S. Court of Appeals for the Second Circuit appears to disturb the generally settled body of law concerning the status of non-bank investors with respect to applicable usury laws for...more

Supreme Court to Decide Class Action Issues Involving Settlement Offers to Named Plaintiffs, Statistical Sampling and Class Member...

I’ve been delayed a bit in reporting on this, but the October 2015 term of the U.S. Supreme Court is shaping up to be a blockbuster one for class action law. Perhaps even bigger than the October 2010 term, which brought us...more

Illinois Federal Court Follows Eleventh Circuit’s Broad Definition of “Sender” in Blast Fax Case

Through prior posts (see here, here, and here), we have monitored the FCC’s somewhat perplexing distinction between calls and faxes in the context of analyzing direct and vicarious liability under the TCPA. Just two months...more

The Devil in the “Cyber” Insurance Details

There’s a tempest amidst the recent spring shower of “cyber” insurance cases. It isn’t the Recall Total case reported the week before last, or the Travelers v. Federal Recovery Services case reported the week before. While...more

Pennsylvania Court Refuses to Create a Duty of Care to Protect Confidential Personal Data

On May 28, 2015, Judge R. Stanton Wettick, Jr. refused to create a new cause of action sounding in negligence allowing a claim for damages resulting from improper disclosure of confidential personal and financial...more

CAFA Local Controversy Exception Established Through Sampling and Statistics

An Illinois federal district court recently credited sampling data as evidence sufficient to establish the citizenship of putative class members for purposes of invoking the local controversy exception to CAFA...more

West Virginia Employment Update: The Mountain State is Becoming Much More Attractive to Employers

For the past several decades, West Virginia has not fared particularly well when employers were faced with tough decisions regarding whether to close or open new facilities in the state.  One of the factors that undoubtedly...more

Second Circuit Holds That National Bank Act Preemption Does Not Apply to an Independent, Third-Party Debt Collector That Purchased...

The Second Circuit recently issued a National Bank Act preemption decision with significant implications for purchasers of loans and other debt from national banks. See Madden v. Midland Funding, LLC, --- F.3d ---, 2015 WL...more

Court Denies Motion To Compel Arbitration, Finding Terms Of Agreement To Arbitrate Inadequately Disclosed

A New York district court denied defendant Gogo LLC and Gogo Inc. (collectively “Gogo”) motions to transfer venue, compel arbitration, and dismiss for lack of standing in a lawsuit relating to internet...more

Class Action Allegations Can Be Properly Stricken on a Motion to Dismiss in New Jersey

The New Jersey Appellate Division recently affirmed the dismissal of plaintiffs’ class allegations in Myska, et al. v. New Jersey Manufacturers Ins. Co., et al., Docket Nos. A-4398-13T4 and A-0275-14T4 (App. Div. May 8,...more

California Appellate Court Reverses Trial Court, Grants Motion To Compel Arbitration

A state appellate court in California reversed a trial court’s decision to deny defendant Santa Lucia Preserve Company’s (“Santa Lucia”) motion to compel arbitration, holding that plaintiffs failed to prove that the...more

No Certification Where Class Representatives Have Conflicting Interests

Seventy-eight of the over 4,000 Michigan childcare providers who received state subsidies for offering services to low-income families voted to oppose having their union dues deducted from their subsidy payments. Six of the...more

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