Subject Matter Jurisdiction

News & Analysis as of

No Method to the Mootness: Ninth Circuit Rejects Allstate’s Effort to Moot Class Action Claims

On April 12, 2016, in Chen, et al. v. Allstate Insurance Co., No. 13-16816, the Ninth Circuit considered whether an unaccepted offer of judgment and tender of payment under Federal Rule of Civil Procedure 68 to fully...more

Ninth Circuit Affirms District Court’s Dismissal in Environmental Justice Case Seeking Judicial Review of EPA’s Decision to Settle...

On May 11, 2016, the U.S. Court of Appeals for the Ninth Circuit issued an unpublished memorandum decision in an environmental justice case, Garcia v. McCarthy, Case No. 14-15494, that many have been watching closely. The...more

Keeping it in Court: Unaccepted Offer of Judgment Doesn’t Moot Class Claims

On April 6, 2016, the Third Circuit, in Weitzner v. Sanofi Pasteur, Inc., considered whether an offer of judgment under Federal Rule of Civil Procedure 68 moots a plaintiff’s entire action, including class claims, thereby...more

Federal Appellate Court Reinstates RMBS Action Against Moody’s

On May 2, 2016, the First Circuit Court of Appeals reinstated a $5.9B suit brought by the Federal Home Loan Bank of Boston (“FHLBB”), alleging that Moody’s Corp and Moody’s Investor’s Service, Inc. (together, “Moody’s”)...more

California Employment Law Notes - May 2016

Employee Who Needed To Assist Disabled Son Could Proceed With "Associational Disability Discrimination" Claim - Castro-Ramirez v. Dependable Highway Express, Inc., 246 Cal. App. 4th 180 (2016) - Luis...more

Zofran MDL Jurisdictional Analysis Bounces Non-Missouri Plaintiffs

Over the years we have completed many written evaluations of young associates, and the first category on the form has almost always been "Legal Analysis." That primacy makes sense. If a lawyer does not understand the legal...more

Supreme Court Rules Against Using Settlement Offers to Moot Class Actions

In Campbell-Ewald Co. v. Gomez, a decision released in January, a majority of the United States Supreme Court held that an unaccepted Rule 68 offer of judgment by a defendant cannot moot a putative class action....more

BREAKING NEWS: Sales Tax Battle Breaks Out in South Dakota; Quill’s Last Stand?

On March 22, 2016, South Dakota Governor Dennis Daugaard signed into law Senate Bill 106, which requires any person making more than $100,000 of South Dakota sales or more than 200 separate South Dakota sales transactions to...more

Federal Circuit Patent Updates - April 2016

Mankes v. Vivid Seats Ltd. (No. 2015-1909, 4/22/16) (Taranto, Schall, Chen) - Taranto, J. Vacating judgment on the pleadings dismissing cases for inadequately pleading divided infringement and remanding for...more

Federal Court Remands Albanian Power Company’s Suit

In March, a New York federal court remanded an Albanian power company’s suit seeking enforcement of an Albanian court’s judgment. In Albaniabeg Ambient Sh.p.k. v. Enel S.P.A., the federal court reasoned that, although the...more

Leaving Real Estate Investment Trusts in the Cold: How the Americold Case Could Preclude Establishing Diversity Jurisdiction in...

The Supreme Court’s most recent citizenship opinion, Americold Realty Trust v. Conagra Foods, Inc., could make removing or keeping a case in federal court based on diversity more difficult for a statutory trust with a...more

Supreme Court Upholds Strict Diversity of Citizenship of Non-Corporate Entities for Diversity Jurisdiction

In a unanimous decision on March 7, 2016, the United States Supreme Court affirmed its longstanding principle that unincorporated entities cannot claim diversity jurisdiction for federal court purposes. This case highlights...more

Mooting Class Actions by Offer of Judgment – Episode 2: The Ninth Circuit Strikes Back

In Campbell-Ewald v. Gomez, 136 S. Ct. 663 (Jan. 20, 2016), the Supreme Court resolved a split among courts and held that an unaccepted settlement offer of complete individual relief does not moot the plaintiff’s lawsuit. ...more

Covenant Not to Sue Insufficient to Warrant Dismissal of Counterclaims Where Covenant Contained Reservation of Rights

The plaintiff filed a motion to dismiss the defendants' patent invalidity counterclaims for lack of subject matter jurisdiction pursuant to Fed.R.Civ.P. Rule 12(b)(1) because the plaintiff withdrew its patent infringement...more

Second Circuit Affirms Denial of Class Certification in FDCPA Action for De Minimus Recovery

Gallego v. Northland Grp. Inc., No. 15-1666-CV, 2016 WL 697383 (2d Cir. Feb. 22, 2016) - Debtor brought a class action against a debt collector alleging violations of the Fair Debt Collection Practices Act (FDCPA) by...more

District Court Rejects “Worthless Services” FCA Claim, Interprets First-to File Bar and Res Judicata in FCA Context

Earlier this month, the U.S. District Court for the Eastern District of Virginia dismissed a 2-count False Claims Act (FCA) complaint against Unisys Corporation. United States ex rel. Soodavar v. Unisys Corp., 2016 WL 1367163...more

Alabama Sex Offender Religious Land Use Case To Proceed

The U.S. District Court for the Middle District of Alabama has ruled that Ricky Martin may proceed with his religious land use and other claims against the Chilton County District Attorney Randall Houston. The Middle...more

Appellate Court Notes

Supreme Court Advance Release Opinions: SC19408 - NPC Offices, LLC v. Kowaleski - In this case, the Supreme Court reversed the Appellate Court. The Appellate Court had agreed with the Trial Court that a driveway...more

Bad Bullets Brings Sixth Circuit in Line with Siblings: The Commercial Activity Exception to the Foreign Sovereign Immunities Act

On March 7, 2016, the Sixth Circuit Court of Appeals joined its sibling circuits by affirming a ruling from the Southern District of Ohio, which found that the design and manufacture of a product is a commercial activity...more

Appellate Court Notes

Supreme Court Advance Release Opinions: SC19480 - McCullough v. Swan Engraving, Inc. - This case determined that when a husband had already filed a claim for disability benefit in a timely fashion under the Worker’s...more

Supreme Court Reinforces Strict Rule On Citizenship of Unincorporated Entities for Diversity Jurisdiction to the Detriment of...

Article III of the U.S. Constitution extends the jurisdiction of federal courts to “[c]ontroversies … between Citizens of different States.” U.S. Const. art. III, § 2, cl. 1. “This rule is easy enough to apply to humans, but...more

If You Want to Contest Jurisdiction, Don’t File a Counterclaim

In Microsoft Corporation v, GeoTag, Inc., [2015-1140] (April 1, 2016), the Federal Circuit affirmed the district court’s exercise of jurisdiction (although on different grounds) and affirmed summary judgment of...more

Franchisee Can’t Work Its Way Out of Trademark Infringement and Breach of Contract Litigation on Jurisdictional Grounds

An out-of-state franchisee sought to escape the reach of the Massachusetts District Court in a breach of contract and trademark infringement litigation filed by its Massachusetts-based franchisor. But, the parties quickly...more

EPA Requests Dismissal of Complaint For Lack of Subject Matter Jurisdiction

On March 10, 2016, the U.S. Environmental Protection Agency (EPA) filed a motion to dismiss for lack of subject matter jurisdiction and a supporting memorandum of law (Memorandum) in Anderson v. McCarthy, Case No....more

Court Lacks Subject Matter Jurisdiction To Review Interference Ruling

ABT Holding Company, et al. v. Garnet Biotherapeutics, Inc., C.A. No. 14-1512 – LPS-CJB, March 23, 2016 - Burke, C. J. Report and recommendation recommending that defendant’s motion to dismiss based on lack of subject...more

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