The Fifth Circuit recently became the first federal court of appeals to hold that employees who signed arbitration agreements should not receive notice of collective actions. This case of first impression among the courts of appeal could serve as a powerful tool for employers combatting collective actions under the Fair Labor Standards Act (FLSA). Accordingly, we think the decision is deserving of more detailed analysis than a mere summary. A Splintered Approach In ... Keep Reading »
Federal Circuit Courts of Appeal Class Action Articles
The latest class action developments and trends in Federal Circuit Courts of Appeal, including news, key cases, and strategies.
Third Circuit Finds Class Members’ Cash Advance Agreements May Fall Short of a True Assignment
On April 26, 2019, the Third Circuit Court of Appeals reversed in part and affirmed in part a district court order purporting to void cash advance agreements entered into by and between class members and litigation funding companies in In re National Football League Players' Concussion Injury Litigation. Following settlement of the underlying litigation, hundreds of class members entered into cash advance agreements with various litigation funding companies, including ... Keep Reading »
A Unicorn Sighting? Fourth Circuit Affirms Certification of Defendant Class
Bell v. Brockett is an unusual case in several respects. Most notably, the Fourth Circuit affirmed certification of a defendant class, despite acknowledging that defendant class actions are "so rare they have been compared to unicorns." The court not only acknowledged the rarity of defendant class actions but also commented on their "inherent risks." Indeed, in a delightful footnote the court explained that although both unicorns and defendant class actions are rare, the ... Keep Reading »
No Standing, No Settlement?
In a recent decision, the Eighth Circuit weighed in on the requirement that federal courts assess Article III standing before approving a settlement agreement. In the case at issue, plaintiff filed a putative class action for purported violations of the Fair Credit Reporting Act (“FCRA”) against a data company in state court. Defendant removed to the District Court for the Western District of Missouri. Shortly after the parties reached a tentative settlement ... Keep Reading »
Ninth Circuit Says Local Rule 90-Day Deadline to File Class Certification Motion Incompatible With Federal Rule 23
In a case with potentially nationwide ramifications, the Ninth Circuit reversed a California district court’s decision striking a motion for class certification as untimely, finding the district court’s local rule requiring class certification motions be filed within 90 days of the complaint was inconsistent with Federal Rule of Civil Procedure Rule 23. Several other districts, including the Northern District of Georgia, the Northern District of Texas, and the Middle ... Keep Reading »
If at First You Don’t Succeed, Try Another CAFA Exception
A Ninth Circuit Court of Appeals Panel recently affirmed a district court order remanding a putative class action to state court after the defendants' initial removal under CAFA. The case involved claims on behalf of users of the Golden Gate Bridge against three defendants for violations of California's privacy statutes concerning the collection and sharing of personally identifiable information. Specifically, the plaintiffs alleged that after collecting information of ... Keep Reading »
The Bitter and the Sweet
On October 3, the Eleventh Circuit Court of Appeals affirmed the district court’s approval of a class settlement, an award of attorney’s fees to class counsel, and the provision of an incentive award for the class representative. The court affirmed in the face of objections to the class representative’s Article III standing, the notice pursuant to Rule 23(h), the award of attorney’s fees, and the incentive award to the class representative. The basic background is as ... Keep Reading »
Don’t Count Your Chickens – Or State Citizens for CAFA Exceptions – Before They Hatch
The Ninth Circuit vacated a remand order implicating the local and home-state controversy exceptions to CAFA jurisdiction in a putative class action by former California resident employees of Kentucky Fried Chicken (KFC) for state wage-and-hour law violations. The court ruled that the plaintiffs did not meet their burden to prove that “greater than two-thirds of proposed class members” were residents of California to invoke the exceptions. Originally filed in ... Keep Reading »
No Injury, No Problem?: The First Circuit Weighs in on Certification Where Absent Class Members Lack Harm
In Tyson Foods, the Supreme Court declined to resolve the issue of whether a class may be certified if it contains members who were not injured and have no legal right to damages. Dealing with this increasingly common issue in class action litigation, the First Circuit recently summarized circuit precedent on the issue — and ultimately reversed a district court decision certifying a class that contained class members who had not suffered any injury. The plaintiffs filed ... Keep Reading »
The Eleventh Circuit Weighs in on the Intersection of Arbitration and Class Action Jurisprudence
On September 19th, the Eleventh Circuit Court of Appeals resolved a question of first impression in the circuit: whether the availability of the class action mechanism is a question of arbitrability that presumptively should be decided by the court. The Court ruled that the availability of class arbitration presumptively should be decided by the court. But, in a second ruling that could overshadow the first for many existing arbitration agreements, the Court proceeded to ... Keep Reading »
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