Class Action

A class action is a type of legal action where a representative individual or group of individuals can bring a claim on behalf of a larger group or class who share a common legal interest.
News & Analysis as of

Texas District Court Denies Class Certification for Hedge Fund Investors on Numerosity and Predominance Grounds

In 2008, investors in the Parkcentral hedge fund lost as much as $3 billion dollars when Parkcentral’s investment in commercial mortgage-backed securities (“CMBS”) was devalued. The investors, limited partners of Parkcentral,...more

Minnesota District Court Rejects Nationwide Scope and Conditionally Certifies Class of One Chipotle Store

Employees win most motions for conditional certification under the FLSA, with many courts declining to perform a probing analysis at that stage. A recent case from the District of Minnesota, in which the court still applied a...more

Frequent-Flyer Class Actions Likely To Be Less Frequent

Airlines offer frequent-flyer programs to reward loyal customers and attract new ones by awarding various perks based on the “miles” each member accumulates. In practice, however, frequent-flyer programs too often attract...more

Third Circuit Affirms Dismissal of Class Allegations for Vague Pleading

Whenever I see the names of the Iqbal and Twombly pleading cases, I can’t help but feel that the names were clipped from lost lines of Lewis Carroll’s Jabberwocky poem, perhaps as something similar to “Iqbal were the Civil...more

Inside The Courts - September 2014 | Volume 6 | Issue 3

In This Issue: - CLASS CERTIFICATION: ..Goodman v. Genworth Fin. Wealth Mgmt. Inc., No. 09-CV-5603, 2014 WL 1452048 (JFB) (GRB) (E.D.N.Y. Apr. 15, 2014) - DEMAND FUTILITY: ..Rosenbloom v. Pyott,...more

Third Circuit Rejects Class Certification in Yet Another Consumer Case

Consistent with its recent emphasis on the stringency of class certification requirements in consumer cases, the Third Circuit recently affirmed the denial of class certification in a consumer case involving alleged...more

District Court Cleans Up Whirlpool Washing Machine Class Definition

Having requested and obtained certification of a class of consumers who had purchased a number of Whirlpool Duet model washers allegedly susceptible to serious mold problems, Plaintiffs later sought to limit the class so as...more

Class Ascertainability Continues To Become More Concrete

In a recent unpublished decision, District Judge Robert B. Kugler of the U.S. District Court for the District of New Jersey analyzed the ascertainability prong on a motion for class certification, applying the recent trilogy...more

Why Are Companies Getting Sued Under the Video Privacy Protection Act? - Minimizing Your Company's Risk of a VPPA Lawsuit...

Plaintiffs' class action attorneys have filed a cascade of recent Video Privacy Protection Act (VPPA) suits against major brand names. These suits can present a significant exposure because the VPPA provides for statutory...more

Certification of Cat Litter Class Action Denied For Lack of Sales Records and Uniform Exposure

Denying class certification in a kitty litter class action, the Northern District of California take a substantive step forward in aligning the District with the current trend of heightening the bar for ascertaining putative...more

Plaintiffs Sent Back to the Drawing Board in Mislabeling Suit Over “All Natural” and “Fat Free” Claims on Frito-Lay Rold Gold...

Judge Samuel Conti of the Northern District of California recently issued another blow to class action plaintiffs—this time at the motion to dismiss stage—in Figy v. Frito-Lay N. Am., Inc., Case No. 13-3988-SC (N.D. Cal. Aug....more

Ninth Circuit: AG’s Suit Challenging Add-On Products Stays in State Court

Lawsuits filed by the Hawaii Attorney General alleging that card issuers deceptively advertised add-on products belong in state court – and are not preempted by the National Bank Act (NBA), the Ninth U.S. Circuit Court of...more

McCormick & Schmick’s to Pay $1.3 Million and Provide Significant Injunctive Relief to Resolve EEOC Class Race Discrimination Suit

Two Baltimore Restaurants Subjected Black Workers to Discrimination in Hiring and Work Assignments, Federal Agency Charged - BALTIMORE - McCormick & Schmick's Seafood Restaurants, Inc. and McCormick and Schmick...more

Corporate Insurance Trends 2014

Although we are seeing the tail end of many of the claims which arose from the Global Financial Crisis, the sophisticated plaintiff’s bar and ever-developing class action landscape means that companies and their officers will...more

Texas Supreme Court Upholds Class Representative's Authority to Dispose of Unclaimed Settlement Proceeds

A sharply divided Texas Supreme Court recently held that unclaimed class action settlement funds may be disposed of in the manner selected by the parties and are not subject to the state’s Unclaimed Property Act. In Highland...more

CAFA: Recent Developments on the Jurisdictional and Settlement Fronts

Since Congress enacted the Class Action Fairness Act (CAFA) in 2005, the nation’s class action litigation has increasingly migrated to the federal stage, with plaintiffs bringing more class actions directly to federal court...more

A (Second) Lawsuit Seeks to Compel Statutory Timeframe for Administrative Law Judge Review of Medicare Claims Appeals

On August 26th, the Center for Medicare Advocacy filed a nationwide class action lawsuit against the Secretary of Health and Human Services. The complaint alleges that, as implemented, the Medicare administrative review...more

Despite Wal-Mart Stores v. Dukes, Ninth Circuit approves statistical sampling to prove that an “unofficial” common policy exists

There seem to be two prevailing conceptions of class actions. In one view, a class action is a way of determining many similar claims at once by evaluating common evidence that reliably establishes liability (and lays a...more

The Root Cause of Skyrocketing Securities Class Action Defense Costs

Why do the costs of defending securities class actions continue to increase? Because of my writing on the subject) I’m asked about the issue a lot. My answer has evolved from blaming biglaw economics – a combination of...more

Seventh Circuit Addresses Burden of Proof Under CAFA’s Home State Exception, Affirms Denial of Remand and Award of Costs to...

The Seventh Circuit recently addressed the applicability of the home state exception under the Class Action Fairness Act (“CAFA”). The case arose from health insurer Right Choice Insurance Company’s withdrawal from the...more

District Court Refuses to Certify Class of “Non-Liturgical” Protestant Navy Chaplains

Given the rich diversity and array of religions, and the First Amendment prohibitions both on the establishment of religion and impeding the free exercise of religion, the appointment and promotion of chaplains in the...more

Status Updates - September 2014 #2

Lawsuit panned by Court. The popular ratings app Yelp has been cleared by a federal appeals court of allegations in a class action lawsuit that the company extorted advertising dollars from businesses by threatening to remove...more

Fourth Circuit puts teeth into ascertainability, commonality, and predominance requirements for class certification

Sometimes it’s hard to know who’s in a class without substantial individualized inquiries. Can a court certify a class of persons with allegedly similar injuries by pigeonholing the question of class membership as a question...more

Ontario Legislature Clarifies Securities Limitation Period

Less than one month after the Supreme Court of Canada announced that it will hear appeals in a trilogy of Ontario securities class action cases that address how the three years limitation period under the Ontario Securities...more

O’Bannon Decision Could Open the Door to Significant Changes in Collegiate Athletics

Since Judge Claudia Wilken’s recent ruling in O’Bannon et al. v. NCAA et al., Case No. 4:09-cv-03329 (N.D.Ca.), in which the judge called the NCAA a “cartel” that restrains the college athletics market, many commentators have...more

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