Federal District Courts Class Action Articles

The latest class action developments and trends in Federal District Courts, including news, key cases, and strategies.

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 III standing to sue in federal court. The case derived from a 2012 breach of Zappos.com, Inc.’s servers in which hackers stole 24 million customers' personal information. Zappos moved to dismiss the case for lack of standing because, it alleged, ... Keep Reading »

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 jurisdiction. Plaintiffs filed a putative class action lawsuit in Illinois state court alleging that their property is being contaminated by silt particles released from defendants’ steel mill facility in Granite City, Illinois. They asserted common law claims ... Keep Reading »

“Game Over”: Aliens vs. Consumer Class Action

Two video game enthusiasts brought a consumer class action suit against Sega of America, Inc. ("Sega") and Gearbox Software, LLC ("Gearbox") for their alleged disappointment in the quality of the video game "Aliens: Colonial Marines"("ACM").  ACM was marketed as "the canon sequel" to the film Aliens, the 1986 classic blockbuster in which Bill Paxton's character famously exclaimed "Game over, man, now what are we supposed to do?" after the dropship meant to rescue the ... Keep Reading »

Does Rule 23(e) Require that Settlement Class Members Receive Notice of Modification to Cy Pres Remedy?

The United States District Court for the District of Columbia recently held that a modification to a settlement agreement was not subject to the procedural protections of Federal Rule of Civil Procedure 23(e) because it would not "materially hinder" the legal rights of class members. The settlement agreement at issue, entered into between Native American ranchers and farmers and the United States Department of Agriculture, required that the money remaining after the ... Keep Reading »

Class Action Plaintiffs’ Failure to Appear at Deposition Deemed Not Prejudicial Enough for Dismissal

In a class action brought against Amtrak, two plaintiffs, Guerra and Whitesides, both of whom had submitted declarations in support of plaintiffs' motion for class certification, failed to appear at their scheduled depositions. Defendants sought an award of costs and fees and, in addition, the dismissal with prejudice of the legal claims of Guerra and Whitesides, arguing that only a dismissal would remedy the misconduct and prevent plaintiffs' counsel from picking and ... Keep Reading »

Avon Calling: Employees Allege Overtime Exemption Misclassification

Avon categorizes all of its district service managers (DSMs) under the "administrative" exception of California law that requires employers to pay overtime wages. DSMs are the Avon employees who recruit and train the independent retail contractors Avon uses to sell its products to the consuming public.  Plaintiffs – 19 former or current Avon DSMs – claimed Avon improperly treated them as exempt and sought to represent a Rule 23(b)(3) class. Relying on the California ... Keep Reading »

California District Court Refuses To Certify 33-Jurisdiction Class Due To Material Variations in State Warranty Law

The U.S. District Court for the Eastern District of California certified a California-only subclass of purchasers of allegedly mislabeled KitchenAid refrigerators but denied plaintiffs' motion to certify a 32-state and District of Columbia class, holding that Rule 23(b)(3)'s predominance and superiority requirements were not met due to material variations in applicable state warranty law. Plaintiffs alleged that they had purchased refrigerators with an Energy Star ... Keep Reading »

Middle District of Florida Remands Insurance Coverage Class Action, Reasoning Amount In Controversy Is Determined From Value Of Claim, Not Policy

The value of the claim at issue, not the value of the policy limit, is considered for purposes of determining the amount in controversy in an insurance coverage class action. That, the Middle District of Florida found, is the law in the Eleventh Circuit. The plaintiff in Faust v. Maxum Casualty Insurance Company filed in state court a class action against his insurer on behalf of persons covered for Medical Payments coverage under a Florida property, casualty, surety, ... Keep Reading »

Two Out of Three Ain’t Bad: Kansas District Court Certifies Settlement Class and Grants Preliminary Approval but Rejects Notice by Publication

A boy fell through the vinyl guardrail his father installed on the second story deck of their home.  After settling his son's personal injury claims, the father sued Home Depot and the guardrail manufacturer on behalf of himself and other Kansas purchasers for breach of warranty and violations of the Kansas Consumer Protection Act alleging that the guardrail brackets were defective. The district court certified a class, and the Tenth Circuit granted the parties' Rule ... Keep Reading »

Regulatory Settlement Proves Major Obstacle for Certification of Minor Class of Google In-App Purchases

Google sells apps on its Play Store that allow users to make in-app purchases, typically the buying of “currency” for use in app-based games. This putative class action alleged that the games were aimed at minor children and allowed them to make in-app purchases unobstructed for a period of 30 minutes after a password was entered. As a result, minors were able to make one click, large-dollar-amount purchases without parental authorization. Prior to the filing of the ... Keep Reading »