California Supreme Court Issues Opinion In Tobacco II Cases Re: Applicability of Standing Requirements For Unnamed Class Members

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In a long awaited decision, the California Supreme Court has issued its opinion on the impact of the injury standing requirements of Proposition 64 on class Unfair Competition Law ("UCL") claims. The results? An apparent victory for the plaintiff's bar and the removal of a bar to putative UCL class actions brought on behalf of individuals who have questionably suffered any injury-in-fact.

In this matter, the California Supreme Court answered two questions:

"First, who in a UCL class action must comply with Proposition 64's standing requirements, the class representatives or all unnamed class members, in order for the class action to proceed?"

"Second, what is the causation requirement for purposes of establishing standing under the UCL, and in particular what is the meaning of the phrase 'as a result of' in section 17204?"

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