The plaintiff filed a putative class action in Pennsylvania state court against two Pennsylvania defendants and one Virginia defendant, claiming that the defendants preyed on non-English speakers, illegally coercing them to enter into franchise agreements that circumvented the obligations of what were properly classified as employment relationships. The defendants removed under CAFA, and the plaintiff sought remand pursuant to CAFA’s home-state and local-controversy ... Keep Reading »
Labor, Employment & ERISA Class Action Articles
The latest class action developments and trends in labor, employment and ERISA, including news, key cases, and strategies.
First Circuit Adopts Bright-Line Rule On CAFA Removal Trigger And Broadly Defines Other Paper
The First Circuit Court of Appeals recently held that the thirty-day time period for removal under CAFA is triggered when the plaintiffs’ complaint or plaintiffs’ subsequent other papers provide defendants with sufficient information to easily determine that the matter is removable, even if based on information provided by or previously available to defendants, and that “other paper” is defined broadly to include correspondence from the plaintiffs or plaintiffs’ counsel ... Keep Reading »
Magistrate Permits Defendants to Depose 196 Absent Class Members
In a class action involving claims of uncompensated, pre-shift off-the-clock work, a California federal magistrate denied plaintiffs’ motion for a protective order to prevent defendants from taking 196 depositions of absent class members as a part of a post-certification “pilot study” designed to determine the variability in liability among the class members. The certified class consisted of approximately 25,000 member employees. To establish liability, plaintiffs ... Keep Reading »
Court Grants Motion to Strike Class Allegations
In granting a recent motion to strike class allegations, the Northern District of Illinois made two notable observations about such motions: first, they are not disfavored, but rather an appropriate device for determining whether a class action can proceed; and second, that in analyzing the putative class for conflicts, the court is not limited to the face of the complaint. In the case, plaintiff brought a putative class action alleging her employer withheld actual ... Keep Reading »
Pennsylvania District Court Denies Terminated Insurance Agents’ Bid for Certification
The Eastern District of Pennsylvania denied plaintiffs’ motion to certify certain issues under Rule 23(c)(4) and 23(b)(2), holding that the presence of numerous individualized questions, choice-of-law concerns, and other inefficiencies in the putative class litigation made certification inappropriate. Allstate had terminated over 6,200 agents, 90% of whom happened to be over the age of 40, offering four different severance options to the terminated agents. Three of the ... Keep Reading »
District Court Certifies Class Challenging ERISA Plan Amendment
The Eastern District of Michigan has certified a class of ERISA plan participants challenging an amendment which, in attempt to address the plan’s underfunded status, reduced their monthly disability payments. The Court certified a class of recipients of disability retirement benefits under the plan, rejecting challenges to numerosity, adequacy, and commonality. Under the numerosity analysis, the Court did not agree with defendants that joinder was practicable simply ... Keep Reading »
Pennsylvania District Court Certifies Class Despite Defendant’s Attempt To “Pick-Off” Class Representatives
A group of registered nurses formerly employed by the Department of Veterans Affairs sued the United States Office of Personnel Management (“OPM”) in a putative class action seeking declaratory and injunctive relief in connection with a recalculation of their retirement annuities that OPM was obligated to perform under the retroactive application of the Veterans Affairs Health Care Programs Enhancement Act (the “Enhancement Act”). Plaintiffs promptly moved to certify a ... Keep Reading »
Security Guards Unable To Secure Certification Without Commonality
A California federal district court recently denied a motion for class certification because the evidence presented in connection with the motion refuted plaintiffs’ attempted showing of commonality through uniform exposure to unlawful corporate policies. Paragon provides security services to hundreds of federal government sites throughout California under contracts with the U.S. Department of Homeland Security’s Federal Protective Services. The company was sued by ... Keep Reading »
Ninth Circuit Approves Statistical Sampling And Affirms Certification Of Overtime Class
The Ninth Circuit recently affirmed certification of a class of an estimated 800 current and former California-based Allstate Insurance Company adjusters who allege that Allstate has a practice or unofficial policy of requiring its hourly claims adjusters to work unpaid off-the-clock overtime in violation of California law. In certifying the class, the district court found that the question of whether Allstate had an unofficial policy of denying overtime payments while ... Keep Reading »
Third Circuit Denies Employees’ Petition For Rehearing In Class Arbitration Case
The Third Circuit Court of Appeals this week denied a petition for rehearing by the panel and the Court en banc in the Opalinski v Robert Half International, Inc. matter, where last month it held that the availability of class arbitration is a substantive question of arbitrability for the court (not the arbitrator) to decide, absent clear agreement otherwise. See our prior post about that opinion here. Opalinski v. Robert Half International, Inc., No. 12-4444 (3d ... Keep Reading »
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