The Eleventh Circuit recently denied a petition to appeal an order remanding a putative class action to state court, finding the defendant corporations’ dual citizenship defeated minimal diversity under the Class Action Fairness Act (CAFA). Plaintiffs filed the lawsuit in Georgia state court against two insurance companies, alleging a variety of state law claims and limiting the class to include only Georgia citizens. The defendant companies removed under CAFA. Both were ... 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.
Supreme Court to Resolve Whether Failure to Disclose Under Item 303 of SEC Regulation S-K Gives Rise to Securities Fraud Claims
On March 27, the Supreme Court granted certiorari in the case of Leidos Inc., f/k/a SAIC Inc. v. Indiana Public Retirement System, a securities fraud class action. The case will resolve a circuit split over whether a failure to disclose under Item 303 of SEC Regulation S-K can give rise to a claim under Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5. Investor plaintiffs brought a putative class action against Science Applications International ... Keep Reading »
Two Second Circuit Cases, Two Applications of Campbell-Ewald, Two Different Results, Three Weeks Apart
Within roughly three weeks, the Second Circuit issued two opinions applying the Supreme Court’s Campbell-Ewald Co. v. Gomez decision to class action cases involving Rule 68 offers of judgment. On February 15, 2017, in Leyse v. Lifetime Entertainment Services, LLC, the Second Circuit upheld entry of judgment in a case brought by a plaintiff individually and on behalf of a putative class alleging violations under the Telephone Consumer Protection Act (TCPA). The plaintiff ... Keep Reading »
Third Circuit Affirms Denial of Class Certification Because Expert’s Exclusion of Relevant Data From Analysis of Classwide Antitrust Impact Precluded a Finding of Predominance
The Third Circuit affirmed an order denying class certification because the plaintiffs failed to provide sufficient evidence of classwide antitrust impact, and thus, could not satisfy Rule 23(b)(3)’s predominance requirement. The plaintiffs alleged a conspiracy among truck manufacturers and transmission suppliers to monopolize the heavy-duty truck transmission market, resulting in artificially inflated prices for Class 8 trucks. Specifically, the plaintiffs asserted that ... Keep Reading »
No Love For Proposed Consumer Class Settlements
Two consumer class actions recently hit a roadblock when courts denied final approval for class settlements. In In re Target Consumer Data Security Breach, the U.S. District Court for the District of Minnesota preliminarily certified a settlement class in early 2015 and approved the parties’ agreement calling for a $10 million settlement fund to be distributed to the class. Subsequently, after overruling objections, including a challenge to the adequacy of the class ... Keep Reading »
Magistrate Judge Had Authority To Enter Final Judgment Without Consent Of Absent Class Members But Abused Discretion In Approving Settlement
The Ninth Circuit held that a magistrate judge was not required to obtain the consent of absent class members to approve a settlement in a Fair Debt Collection Practices Act (FDCPA) case and to enter a final judgment after certifying a nationwide injunction class. In so ruling, the court joined the Third, Seventh and Eleventh Circuits. The court also held, however, that the magistrate judge abused her discretion in approving the settlement because the injunction was ... Keep Reading »
Circuit Court Gives Red Light to TruGreen’s Motion to Compel Arbitration
The Sixth Circuit recently reversed a decision by the District Court for the Western District of Tennessee ordering arbitration in a putative class action lawsuit. Plaintiff brought a lawsuit against her lawn care services provider for alleged violations of the Telephone Consumer Protection Act when she received telemarketing calls from the company after terminating the parties’ contract and registering her number with the National Do-Not-Call Registry. She also sought ... Keep Reading »
No, Yes, or Back to State Court? Three Circuits Address Standing in Statutory “No Injury” Class Actions
In Spokeo, the Supreme Court declined to answer the certified question of whether a plaintiff suing for violation of a federal statute satisfied Article III’s standing requirement by alleging no concrete injury as a result of that violation. Instead, the Court vacated and remanded the case to the Ninth Circuit to address whether the plaintiff satisfied the “concreteness” requirement for Article III standing. On January 20, the Seventh and Third Circuits weighed in ... Keep Reading »
The Future of Standing in Data Breach Class Actions
In today’s world, as technology costs decrease and personal information becomes more valuable on the black market, data breaches have seemingly joined the ranks of death and taxes as certainties. Add to that litigation: companies suffering data breaches face exposure to lawsuits by consumers, employees, and even financial institutions. One particular concern for companies is the possibility of costly consumer class actions. Though such lawsuits still account for fewer ... Keep Reading »
Third Circuit Applies Presumption of Timeliness to Pre-Certification Motion to Intervene as Class Representative
This case concerned a federal antitrust class action involving a proposed class of Class 8 truck purchasers who alleged a conspiracy by several truck transmission suppliers and manufacturers to raise prices by eliminating competition among the manufacturers. At the class certification stage, defendants moved to dismiss the named plaintiff for lack of standing since it was not a direct purchaser of the truck transmissions at issue. Two months later, the named plaintiff’s ... Keep Reading »
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