Suppose that the central issue in a putative class action is a legal issue pending before the Supreme Court. Depending on how the Supreme Court rules, the plaintiffs will recover either nothing or up to $600 million. But rather than rolling the dice and waiting for that decision, the parties agree to a class action
Eleventh Circuit
Class Definition in Class Action Settlement Must Be Limited to Class Members That Have Standing According to Eleventh Circuit
Last week the Eleventh Circuit addressed an issue that many class action practitioners probably haven’t thought much about: whether approval of a class action settlement requires that each class member obtaining relief have Article III standing to sue. Defendants typically want a broad class definition because they are focused on finality and buying peace. Plaintiffs…
Some Class Action Fairness Act Remand Decisions Are Appealable as of Right
Federal district court orders remanding cases to state court are generally not appealable, as provided by 28 U.S.C. § 1447(d). One exception to this is that the Class Action Fairness Act (CAFA) allows a court of appeals, in its discretion, to accept an appeal from an order granting or denying a motion to remand a…
Does the Class Action Fairness Act Allow Appeals of Sua Sponte Remand Orders?
A recent Eleventh Circuit decision on the Class Action Fairness Act (CAFA) caught my eye. It involves the kind of question legislators (and their staffs) probably never think about when drafting a statute. Law professors dream up these types of questions when trying to find a way to puzzle their students on an exam. It’s…
Are Incentive Awards for Named Plaintiffs in Class Actions Allowed? Not According to the Eleventh Circuit
A recent decision by the Eleventh Circuit struck down a practice that is commonplace in class action settlements—providing a modest incentive award to a named plaintiff. In Johnson v. NPAS Solutions, LLC, No. 18-12344, 2020 WL 5553312 (11th Cir. Sept. 17, 2020), the district court, as part of the final approval of a class…
Amount in Controversy for Declaratory Judgment Claims and “Late” Removal Based on Standard Fire v. Knowles Addressed By New Class Action Fairness Act (CAFA) Appellate Decisions
Two recent federal court of appeals decisions on the Class Action Fairness Act (CAFA) address the measurement of the amount in controversy on a declaratory judgment claim, and a “late” removal based on the Supreme Court’s decision in Standard Fire Ins. Co. v. Knowles. Both decisions are favorable to defendants. The Eleventh Circuit’s opinion …