In Dunford v. American Databank, LLC, the plaintiff alleged that the defendant violated the Fair Credit Reporting Act by including within her criminal background report charges that were more than seven years old. The plaintiff sought to certify two nationwide classes. The court found that, among other impediments to certification, the proposed class representative was inadequate because of her prior criminal convictions and her arrest and felony charge during the ... Keep Reading »
Parens Patriae Action By State Attorney General Is Not Removable Under CAFA’s Class Action Provision
A federal district court in Hawaii held that a parens patriae action brought on behalf of the State of Hawaii by its Attorney General was not removable under the Class Action Fairness Act (“CAFA”) because it was not a class action, and, even if it were, the presence of the State as a party precluded a finding that CAFA’s minimal diversity requirement had been met. In Hawaii v. Bristol-Myers Squibb Co., Hawaii’s Attorney General claimed that pharmaceutical companies ... Keep Reading »
Lack Of Predominance, Superiority, And Ascertainability Foreclose Mortgagors’ Proposed Class Action Alleging Kickbacks In Violation Of RESPA
The Central District of California denied certification of a putative nationwide class of mortgagors, holding that numerous individualized issues precludeda finding of predominance, superiority, or ascertainability. In particular, the plaintiffs alleged that defendant’s subsidiary escrow companies violated the Real Estate Settlement Procedures Act’s kickback prohibition by accepting payments from delivery companies, such as UPS, FedEx, and OnTrac, in exchange for ... Keep Reading »
Damage Models Create Individualized Issues For Pre-Explosion Subclass Of BP Shareholders, But Present No Impediment For Post-Explosion Subclass
The Southern District of Texas recently denied certification of a subclass of BP shareholders who purchased shares prior to the Deepwater Horizon explosion and alleged that misstatements regarding safety improvements caused them to buy BP shares at inflated prices. The court, however, certified a subclass of shareholders who purchased shares after the disaster and alleged that BP’s misstatements regarding the scope of the damage from the explosion and oil spill ... Keep Reading »
Ninth Circuit Holds On 23(f) Appeal That District Court Abused Its Discretion By Weighing The Merits In Denying Certification
After granting the plaintiffs’ Rule 23(f) petition, the Ninth Circuit reversed a denial of class certification, finding that the district court had improperly weighed the merits of the plaintiffs’ Rule 23(a)(2) commonality evidence. The plaintiffs’ complaint alleged that the defendant’s criteria for promoting police officers to investigative positions created a disparate impact on those candidates over the age of 40, which violated California’s Fair Employment and ... Keep Reading »
Putative Nationwide Class Of Car Dealers Turns Out To Be A Lemon – Individualized Issues Preclude Certification
The U.S. District Court for the Northern District of Georgia denied plaintiffs’ motion for nationwide class certification because the proposed class did not meet Rule 23’s commonality or predominance requirements. The putative class plaintiffs had entered into agreements granting them rights to distribute the defendant’s cars in the United States. The plaintiffs had paid the defendant’s “application” fees and, in some instances, prepared dealerships to receive new ... Keep Reading »