The fifth annual edition of the Carlton Fields Class Action Survey has just been released, and in this year’s survey corporate counsel report that class action spending has increased after four consecutive years of decline. Spending is also projected to increase in 2016. This marks a key turning point. The Numbers Across industries, the companies surveyed report that they spent $2.1 billion on class action lawsuits in 2015. The number of companies facing at least one ... Keep Reading »
Certification Class Action Articles
The latest class action developments and trends in certification, including news, key cases, and strategies.
Sample This! Tyson Employee Class Wins Significant but Narrow Supreme Court Victory
Tyson Foods lost its bid to overturn an almost $3 million class action judgment against it in a case brought by workers at an Iowa pork-processing factory who contended they did not receive overtime pay for time spent “donning and doffing” protective equipment. The Supreme Court affirmed the judgment in a 6-2 decision. Because Justice Kennedy (who wrote the decision) and Justice Roberts joined the majority, the loss of Justice Scalia had no apparent impact on the ... Keep Reading »
Ninth Circuit: Common Issues Do Not Predominate in Mortgage Borrowers’ Action
The Ninth Circuit affirmed an order denying class certification in a case involving allegations that a mortgage servicer wronged borrowers through its implementation of the federal Home Affordable Modification Program (HAMP). The Ninth Circuit held that the district court did not abuse its discretion in denying certification on the basis that individual issues predominated over common ones. Plaintiffs sought certification of eight statewide classes of individual ... Keep Reading »
Supreme Court Won’t Resolve Multi-Circuit Split on Ascertainability Requirement
On February 29, the U.S. Supreme Court denied certiorari review in Mullins v. Direct Digital, LLC, No. 15-1776, an ascertainability case we previously covered when it was decided in the Seventh Circuit. In Mullins, a panel of the Seventh Circuit expressly split from decisions in the Third and Eleventh Circuits and held that a class plaintiff is not required to demonstrate the “administrative feasibility” of ascertaining a class. Instead, the panel applied a weaker ... Keep Reading »
Seventh Circuit Weighs In On One-Way Intervention
Does plaintiff’s contemporaneous filing of a motion for summary judgment and a motion for class certification violate the rule against one-way intervention? In Costello, plaintiff filed his motions for summary judgment and class certification contemporaneously. The lower court first denied class certification and then granted the motion for summary judgment. On appeal, the Seventh Circuit found that the rule against one-way intervention was not violated. The court, ... Keep Reading »
Limits of Ascertainability Reached in Class Allegations Against Equifax
Plaintiff, hoping to recover from Equifax for issuing a credit report with "incorrect and damaging information," sought to represent a class of "all persons who disputed an Equifax credit report and where Equifax failed to apply the proper and appropriate [Fair Credit Reporting Act, (“FCRA”)] procedures." On defendant's motion to strike these class allegations, the federal district court in New Jersey said, "this Court would never grant a motion for class certification ... Keep Reading »
No Party for IRS: Court Certifies Class of Conservative Nonprofits
If you thought that the political controversy over alleged IRS targeting of Tea Party organizations was confined to the media, think again – the issue has reached the courts. The Southern District of Ohio recently granted class certification in a lawsuit brought by organizations alleging they were targeted by the IRS. Plaintiff groups, which applied for exemption from federal taxes under 26 U.S.C. §§ 501(c)(3) and 501(c)(4), claim that the IRS improperly flagged their ... Keep Reading »
Fairness in Class Action Litigation and Furthering Asbestos Claim Transparency Act of 2016, Passes House and Heads to Senate
On January 8, the U.S. House of Representatives passed, by a 211-188 vote along party lines, H.R. 1927, the Fairness in Class Action Litigation and Furthering Asbestos Claim Transparency Act of 2016. The bill would amend U.S. Code, title 28, to preclude federal courts from certifying “any proposed class seeking monetary relief for personal injury or economic loss unless the party seeking to maintain such a class action affirmatively demonstrates that each proposed class ... Keep Reading »
Court Allows Class Member Self-Identification Where Employer Failed to Retain Records
The Northern District of California recently certified a class of employees in an action against an auto parts store for failure to reimburse expenses. Plaintiff alleged that the defendant required certain management-level employees—specifically, store managers, assistant store managers, and retail service specialists—to make daily bank deposits but did not reimburse them when they used personal vehicles to do so. Though the company had a standard policy regarding ... Keep Reading »
No Automatic Certification For Robosigning Class
In this multidistrict litigation, plaintiffs sought certification of two classes of Arizona property owners challenging the operation of the Mortgage Electronic Registration Systems (MERS) in transferring the beneficial interest under their deeds of trust. Plaintiffs alleged that these mortgage transactions misrepresented MERS’s authority as a beneficiary, contained false statements, and were robosigned. The court granted defendants’ motion to dismiss and plaintiffs ... Keep Reading »
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