The Seventh Circuit recently addressed the applicability of the home state exception under the Class Action Fairness Act (“CAFA”). The case arose from health insurer Right Choice Insurance Company’s withdrawal from the Illinois market and cancellation of its insurance policies. Former policyholders filed a putative class action lawsuit in the United States District Court for the Southern District of Illinois alleging that cancellation of their policies violated ... Keep Reading »
Search Results for: rule 23
Court Denies Certification Citing Putative Class Representative’s Criminal History
In Dunford v. American Databank, LLC, the plaintiff alleged that the defendant violated the Fair Credit Reporting Act by including within her criminal background report charges that were more than seven years old. The plaintiff sought to certify two nationwide classes. The court found that, among other impediments to certification, the proposed class representative was inadequate because of her prior criminal convictions and her arrest and felony charge during the ... Keep Reading »
Parens Patriae Action By State Attorney General Is Not Removable Under CAFA’s Class Action Provision
A federal district court in Hawaii held that a parens patriae action brought on behalf of the State of Hawaii by its Attorney General was not removable under the Class Action Fairness Act (“CAFA”) because it was not a class action, and, even if it were, the presence of the State as a party precluded a finding that CAFA’s minimal diversity requirement had been met. In Hawaii v. Bristol-Myers Squibb Co., Hawaii’s Attorney General claimed that pharmaceutical companies ... Keep Reading »
Ascertainability Issues Preclude Certification of a Class of Individuals Alleging Violations of the Fair Debt Collection Practices Act
The U.S. District Court for the Western District of Michigan denied plaintiffs’ motion for class certification citing plaintiffs’ failure to satisfy Rule 23’s ascertainability, commonality, typicality, and predominance requirements. The defendants, a debt collection agency and law firm, had filed state court complaints on behalf of medical providers in order to collect delinquent debts. The state court complaints included an exhibit listing providers who had allegedly ... Keep Reading »
Lack Of Predominance, Superiority, And Ascertainability Foreclose Mortgagors’ Proposed Class Action Alleging Kickbacks In Violation Of RESPA
The Central District of California denied certification of a putative nationwide class of mortgagors, holding that numerous individualized issues precludeda finding of predominance, superiority, or ascertainability. In particular, the plaintiffs alleged that defendant’s subsidiary escrow companies violated the Real Estate Settlement Procedures Act’s kickback prohibition by accepting payments from delivery companies, such as UPS, FedEx, and OnTrac, in exchange for ... Keep Reading »
California District Court Denies Certification of Putative Class of Plaintiffs Alleging Violations of the Video Privacy Protection Act
The U.S. District court for the Northern District of California denied plaintiffs’ motion for class certification because the proposed class did not satisfy Rule 23’s ascertainability and predominance requirements. Plaintiffs’ class action complaint alleged that Hulu violated the Video Privacy Protection Act by disclosing video selections and “personally identifiable information” to third parties such as Facebook. At the class certification hearing, the plaintiffs ... Keep Reading »
Basic Survives, But Defendants Must Have Opportunity To Show Lack Of Price Impact To Rebut “Fraud-On-The-Market” Presumption Of Reliance Prior To Class Certification
Earlier this week the Supreme Court reaffirmed the validity of the “fraud-on-the-market” presumption of reliance that significantly eases the burden on investors in obtaining certification of private securities fraud class actions, but held that defendants must be permitted an opportunity at the class certification stage to rebut the presumption through direct or indirect evidence showing that the alleged misrepresentations did not impact the stock price. In the more ... Keep Reading »
Preemptive Strike Terminates Nationwide Product Defect Class In Louisiana
A Louisiana District Court struck plaintiff’s class allegations in a putative nationwide class of Mercedes vehicle owners finding plaintiff failed to meet his burden of proving predominance, superiority and manageability. Plaintiff alleged that that Mercedes concealed defects in the GL model suspension system that caused the vehicles to lean and be undriveable. Plaintiff’s complaint asserted various common law product liability, warranty and fraud theories as well as ... Keep Reading »
District Court Rejects Nationwide Class, But Certifies California-Only Consumer Class After Conducting Rigorous Analysis of Damages Models Under Comcast
In Werdebaugh v. Blue Diamond Growers, the plaintiff brought suit in the United States District Court for the Northern District of California to certify a nationwide class of consumers who purchased Blue Diamond almond milk products containing allegedly false and deceptive labels. He alleged violations of California’s Unfair Competition Law, False Advertising Law, and Consumers Legal Remedies Act. The plaintiff moved for certification of a class seeking injunctive ... Keep Reading »
Court Refuses to Apply California or Texas Law to Putative Nationwide Class and Denies Renewed Motion for Class Certification
A California federal district court denied a renewed motion for certification of a nationwide class, holding that the application of California negligence and conversion law would violate the due process rights of non-Californian class members. Ms. Marsh sought to represent a nationwide class of “payday loan” applicants who were allegedly victimized by unauthorized withdrawals from their bank accounts via “remotely created checks” processed by one Texas-based ... Keep Reading »
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