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 »
Supreme Court’s Amgen Order Confirms That Fifth Third Bancorp’s ERISA Stock-Drop Pleading Standard Has Teeth
In a recent per curiam order granting the plan fiduciaries' petition for certiorari and reversing the Ninth Circuit, the United States Supreme Court made clear that it expects lower courts to faithfully apply the pleading requirements for ERISA "stock-drop" cases as articulated in the Court's earlier opinion in Fifth Third Bancorp v. Dudenhoeffer, 134 S. Ct. 2459 (2014). This is welcome news for stock-drop defendants, who should still have a meaningful opportunity to ... Keep Reading »
Supreme Court Rules Unaccepted Rule 68 Offer of Judgment Cannot Moot Class Action
A divided Supreme Court ruled today in Campbell-Ewald Co. v. Gomez, No. 14-857, that an unaccepted Rule 68 offer of judgment by a defendant cannot moot a putative class action. The decision settles a reserved question from Genesis HealthCare Corp. v. Symczyk and resolves a circuit split on the issue. Justice Ginsburg’s majority opinion holds that an unaccepted Rule 68 settlement offer “has no force” and like other unaccepted contract offers, “creates no lasting right or ... 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 »
CAFA Settlement Trap: States As Absent Class Members
Will a Class Action Fairness Act (CAFA) notice of settlement bind a state as an absent class member? A Pennsylvania federal district court recently offered guidance on this issue. The case involved allegations that the defendant pharmaceutical company illegally delayed the introduction of a cheaper, generic version of its nasal inflammation drug Flonase by filing a sham citizen petition with the Food and Drug Administration. In June 2013, the court approved a ... Keep Reading »
Don’t Tip Just Yet: Uber Taxi Class Gets Limited Certification
A federal judge in San Francisco recently certified a limited class in a lawsuit against Uber under the California Unfair Competition Law (UCL) and the California Consumers Legal Remedies Act (CLRA). The plaintiff sought to certify a class of all Uber customers who used a traditional taxi from April 2012 to March 2013. However, after examining the claims under Rule 23 and both the UCL and CLRA, the court certified a class consisting of only those customers who received ... Keep Reading »
Michigan District Court Holds TCPA “Junk Fax” Class Ascertainable, Certifies Class
The Eastern District of Michigan recently certified a class of plaintiffs suing under the Telephone Consumer Protection Act (TCPA), rejecting the defendants’ arguments that: (1) there would be “significant issues” identifying class members because the faxes at issue were sent nearly a decade ago; and (2) some putative class members may have had prior business relationships with the defendants and thus may have consented to receipt of the faxes. The defendants had hired a ... Keep Reading »
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