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Tag Archives: Class Certification

Supreme Court Refuses To Overturn Fraud-On-The-Market Presumption, But Adjusts Presumption To Allow Evidence of Absence Of “Price Impact” At Class Certification Stage

Posted in Class Certification, Predominance, Securities, U.S. Supreme Court

The securities class action industry was launched a quarter-century ago when the Supreme Court recognized the so-called “fraud-on-the-market” presumption of reliance in most putative securities class actions.  The result has been that—despite Congressional efforts at securities litigation reform—most securities class actions that survive the pleadings stage are likely to achieve class certification, forcing defendants to… Continue Reading

California Court Says No Need To Resolve Disputes Over Substantive Law In Evaluating Whether Class Can Be Certified

Posted in Class Certification, Commonality, Employment, Predominance

Suppose that you’re a trial court considering a motion for class certification.  And suppose that the parties present you with two competing statutory interpretations.  One legal standard permits the case to be adjudicated with common evidence.  And the other standard would require  individualized inquiries.  What should you do?  Should you decide what the law is… Continue Reading

California Supreme Court Rejects Exceptionally Poor Sampling Method, But Leaves Open Many Questions About Sampling And Class Certification

Posted in Class Certification

In Duran v. U.S. Bank N.A. (pdf), the California Supreme Court recently addressed an important question in the context of state-court class actions: Can plaintiffs invoke statistical sampling in an attempt to prove class-wide liability and overcome the presence of individual questions that ordinarily would defeat class certification? The court’s answer to that question is a… Continue Reading

More Thoughts On Ascertainability And Why It Matters In Deciding Whether To Certify A Class Action

Posted in Ascertainability, Class Certification

Can you have a class action if you can’t figure out who’s in the proposed class? According to many in the plaintiffs’ bar, the answer is “yes.” But as we have discussed in prior blog posts, there is an emerging consensus to the contrary. Most courts agree that plaintiffs in consumer class actions have the… Continue Reading

Third Circuit Rejects Effort At End Run Around The Ascertainability Requirement

Posted in Ascertainability, Class Certification

We previously wrote about the Third Circuit’s decision in Carrera v. Bayer Corp., which reversed a district court’s class-certification order because there was no reliable way to ascertain class membership—indeed, no way to identify who was a member of the class aside from a class member’s own say-so. Last week, the full Third Circuit denied (pdf) the… Continue Reading

Class Action Can’t Be Remanded To State Court Just Because The Plaintiff Says It’s Uncertifiable

Posted in Motions Practice

When was the last time you saw a plaintiffs’ lawyer seeking to represent a class argue that the class couldn’t be certified? Readers might wonder whether this is a trick question. In a sense, it is. In Hoffman v. Nutraceutical Corp. (pdf), the Third Circuit upheld the denial of a motion to remand a class action… Continue Reading

Class-Action Plaintiffs Must Offer Evidence Showing That They Meet Class-Certification Requirements

Posted in Adequacy, Class Certification, Predominance, Securities

A recent decision denying certification of a securities-fraud class action underscores that plaintiffs must prove with evidence that they satisfy the requirements of Federal Rule of Civil Procedure 23, not merely allege that they do so or promise that they can. The decision in In re Kosmos Energy Limited Securities Litigation arose from a class action… Continue Reading

Use the “Consumer” in Consumer Class Actions to Defeat Certification

Posted in Ascertainability, Class Certification, Predominance, Typicality

Plaintiffs routinely bring consumer class actions under statutes that allow only consumers—not businesses—to bring claims, or that are limited to transactions solely for personal or household purposes. See, e.g., Electronic Funds Transfer Act, 15 U.S.C. § 1693a(2); Real Estate Settlement Procedures Act, 12 U.S.C. § 2606(a)(1); California’s Consumer Legal Remedies Act, Cal. Civ. Code §… Continue Reading

Reading the Halliburton Argument’s Tea Leaves

Posted in Securities, U.S. Supreme Court

Does today’s oral argument before the Supreme Court in the Halliburton case provide any clues regarding the Court’s likely decision?  (For background regarding the case, see yesterday’s post.) Not necessarily. “Court-watchers” are often quick to predict a case’s outcome based on the argument—and are very often wrong.  Remember the health care law that was certain… Continue Reading

Will A New Wave Of Class Actions Spring From Patent Infringement Litigation?

Posted in Class Action Trends

It is no secret that many private class actions are filed as follow-on lawsuits to news reports, government investigations, regulatory developments, and identical earlier-filed class actions. But a recent gambit by the plaintiffs’ bar is among the more creative efforts we have seen. Earlier this week, a well-known plaintiffs’ firm filed Dang v. Samsung Electronics… Continue Reading

What’s Going On With Class Actions Alleging That Businesses That Record Customer-Service Calls Are Violating California’s Invasion of Privacy Act?

Posted in Class Action Trends

Since 2006, companies based outside California have been alert to the potential burdens of class actions under California’s Invasion of Privacy Act (“CIPA”), Cal. Penal Code § 630 et seq. The laws of most states, as well as federal law, allow telephone calls to be recorded with the consent of one party to the call…. Continue Reading

En Banc Ninth Circuit Demands That Courts Serve As Gatekeepers For Expert Testimony—Will That Rule Be Extended to Class Actions?

Posted in Class Certification

In the battle over class certification, expert testimony proffered by both plaintiffs and defendants is playing an increasingly important role. The Supreme Court has not yet decided whether the test for admissibility of expert testimony announced in Daubert v. Merrell Dow Pharmaceuticals applies at the class-certification stage, although it has certainly dropped hints to that… Continue Reading

Two Washer Cases Provide the Supreme Court with Its Best Opportunity Since Wal-Mart v. Dukes to Make Sense of Class-Certification Standards

Posted in Class Certification, Commonality, Predominance, U.S. Supreme Court

At its conference on January 10, the Supreme Court can get serious about fixing consumer class actions. The Justices should take up that challenge, because it will consider two certiorari petitions that seek review of class certifications—involving alleged “moldy odors” in high-tech front loading washing machines—that are prime examples of what has gone wrong with… Continue Reading

Recent Appellate Decisions Underscore That Wage and Hour Class Actions are Alive and Well in California Despite Brinker

Posted in Class Certification, Employment

Some observers of California wage-and-hour class actions contended that the Brinker v. Superior Court—a key decision we have discussed in the past—had sounded the death knell for class certification in those cases. of California wage and hour class actions. Not so fast, according to the California Courts of Appeal, which have, in four published opinions,… Continue Reading

The Fate of Hollywood Internship Programs May Rest With the Second Circuit

Posted in Employment, Predominance

Former interns used to get revenge against their employers by writing tell-all blog posts and memoirs. Now, they’re lending their names to plaintiffs’ lawyers, who then file wage-and-hour class or collective actions alleging that interns must be paid like hourly employees. The unpaid internship is among the hottest areas in wage-and-hour litigation. Two of the… Continue Reading

O Canada: New Ground Rules For Class Certification in Antitrust Cases North Of The Border

Posted in Antitrust, Ascertainability, Class Certification

While the U.S. Supreme Court and federal courts of appeals have in recent years demanded rigorous scrutiny before authorizing certification of class actions, the Supreme Court of Canada has charted a different course. In a trio of recent decisions in antitrust class actions, Canada’s high court rejected key U.S. precedents on the scope and nature… Continue Reading

Twelve Amici Join Mayer Brown in Seeking Supreme Court Review of Front-Loading Washer Cases

Posted in Class Certification, Predominance, U.S. Supreme Court

As I have previously blogged, my colleagues and I have filed certiorari petitions in two significant cases affecting class-action litigation, Sears Roebuck & Co. v. Butler (pdf) and Whirlpool Corp. v. Glazer (pdf). The petitions challenge decisions that bless broad class actions on behalf of largely uninjured purchasers of front-loading washing machines whose product-defect claims… Continue Reading

The Seventh Circuit’s Unique Approach To Handling Rule 23(f) Petitions

Posted in Appeals, Class Certification

We recently noted that the Ninth Circuit had granted a Rule 23(f) petition in Chen v. Allstate Insurance Co.—on the issue whether a named plaintiff can refuse an offer of judgment for full relief and persist in litigating a class action—and was expected to issue a briefing schedule soon. Leaving aside the substance of the… Continue Reading

Mayer Brown Files Cert Petitions In Front-Loading Washer Cases

Posted in Class Certification, Predominance, U.S. Supreme Court

Today, Mayer Brown filed a pair of certiorari petitions that challenge efforts by two federal appellate courts to narrow the Supreme Court’s recent class-action decisions in Comcast Corp. v. Behrend and Wal-Mart Stores, Inc. v. Dukes to tickets good for a single ride only. The Supreme Court previously remanded both cases for reconsideration after Comcast,… Continue Reading

Ninth Circuit Overturns Certification of Overtime Class Action Because Of Foreign Statute Of Repose

Posted in Class Certification, Predominance

It’s not all that often that a federal court of appeals reverses an order granting class certification in an unpublished opinion—much less the Ninth Circuit. But a panel of that court just did so last week in holding that a district court erred in certifying a class of workers because of Kuwait’s statute of repose…. Continue Reading

I May Have “Standing” To Sue For False Advertising Of Products I Didn’t Purchase, But Do I Satisfy The “Typicality” Requirement Of Rule 23?

Posted in Class Certification, Typicality

We recently blogged about one of the recent “class standing” decisions holding that a named plaintiff has standing to represent a class on false advertising claims challenging products the named plaintiff never purchased with labels the named plaintiff never saw. According to that decision, so long as the products that were purchased by the named… Continue Reading

Is There New Hope for Challenging Aggregated Statutory Damages?

Posted in Class Certification, Superiority, U.S. Supreme Court

Congress and state legislatures have enacted many statutes that provide for minimum statutory damages recoveries that are far in excess of the actual damages most individuals will suffer. A prominent example is the Telephone Consumer Protection Act (TCPA), which offers $500 per violation of the statute, trebled to $1500 for willful violations. The idea is… Continue Reading

What Does Comcast Corp. v. Behrend Mean For Class Action Defendants?

Posted in Antitrust, Class Certification, U.S. Supreme Court

When the Comcast Corp. v. Behrend decision came down, my colleagues summarized the Supreme Court’s ruling.  Since then, I’ve put together an analysis of the decision and its potential implications.  Lexis has now published the piece as a part of its ongoing Emerging Issues Analysis series.  It is available here:  2013 Emerging Issues 6992 ($)…. Continue Reading

Third Circuit Rejects South Carolinan’s Effort To Bring Nationwide False Advertising Class Under New Jersey Law

Posted in Class Action Trends, Motions Practice

The Ninth Circuit’s decision last year in Mazza v. American Honda Motor Co. [666 F.3d 581] (a case I argued) made it more difficult to sustain a nationwide class action under California consumer protection laws. Applying California “governmental interest” choice-of-law principles, the Mazza court held that the jurisdiction having the greatest interest in supplying the… Continue Reading