Archives: Class Action Fairness Act

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The Ninth Circuit Bows to Supreme Court Authority, Affirms Three Principles Supporting Removal of CAFA Removal Cases

The Class Action Fairness Act of 2005 (“CAFA”) grants federal courts jurisdiction to preside over certain class action cases where, based on the claims alleged, the amount in controversy is more than $5 million, among other factors. While CAFA provides a useful tool for defendants to remove class actions to federal court, CAFA creates an … Continue Reading

Sixth Circuit Narrowly Construes CAFA’s Local Controversy Exception

Congress passed the Class Action Fairness Act (CAFA) in 2005 to address a series of well-documented abuses of the class action process. Among the protections of the act were provisions enabling class action defendants to remove class action cases more readily than had been allowed before. 28 U.S.C. § 1332(d). The new CAFA removal provisions … Continue Reading

Proposed Legislation That Could Impact Class Action Litigation and Arbitration – The Fairness in Class Action Litigation Act of 2017 and the Arbitration Fairness Act of 2017

Two new pieces of proposed legislation could, if passed, change the architecture and requirements of class actions and outlaw mandatory arbitration clauses in employment and consumer contracts. But neither is a sure thing. Vocal critics as well as supporters are already lined up on both sides of each bill. The Fairness in Class Action Litigation … Continue Reading

Sixth Circuit Adopts Bright Line Test for CAFA Removals

Eyeglass case provides focus for employment class action removals Congress enacted the Class Action Fairness Act, better known as “CAFA,” to address some of the well-documented abuses of class action litigation. Among CAFA’s important provisions is one permitting defendants to remove class actions to federal court when there are over 100 potential class members and … Continue Reading

Washington Federal Court Decertifies Class of Insurance Agents Alleging Entitlement to Overtime

Challenging the classification of workers as independent contractors continues to be a growing area of focus for plaintiffs’ attorneys. However, as a recent federal case from Washington demonstrates, the fact-intensive inquiry that is the hallmark of the independent contractor inquiry is not compatible with classwide resolution – particular post-Dukes. In Rodney v. Bankers Life and Casualty … Continue Reading

U.S. Supreme Court Eases CAFA Removals

Congress passed the Class Action Fairness Act (CAFA) in 2005, in response to perceived (in fact real) concerns regarding potential abuses of the class action process. Among CAFA’s important provisions was the right to remove a case to federal court. Despite the clear congressional intent, some federal courts have treated CAFA removal with hostility. The … Continue Reading

Ninth Circuit “Chases” Away Another Option for Removing PAGA Actions to Federal Court

Authored By: Jeffrey Bils In yet another setback for employers seeking to remove California wage and hour cases to federal court, the Ninth Circuit held that the federal Class Action Fairness Act (“CAFA”) provides federal courts with no basis to assert jurisdiction over suits filed under the California Labor Code Private Attorneys General Act (“PAGA”) … Continue Reading

Ninth Circuit Adopts New Standard For Establishing CAFA Jurisdiction Following Standard Fire

Crow Doesn’t Taste Too Bad….If You Season It Right. AT&T Mobility appears determined to make it onto the Christmas card list of every employer in the United States. In yet another big win for AT&T, the Ninth Circuit recently overturned its own case law and held that a defendant must establish CAFA’s $5 million jurisdictional amount simply by a preponderance of the … Continue Reading

CAFA Unchained – Court Bolsters CAFA’s Coverage in Standard Fire Insurance v. Knowles

Co-Authored by: Dustin M. Dow The U.S. Supreme Court resoundingly signaled an end to a form of statutory manipulation in the class action arena Tuesday. A unanimous Court held that named plaintiffs in class actions may not defeat federal removal jurisdiction by stipulating to artificially low damage claims.  The Court rejected an oft-used tactic by plaintiffs’ … Continue Reading

Court Refuses to Approve Collective Action Settlement Without Disclosure of Terms

Confidentiality provisions in employment settlements are routine, but they can be problematic in the context of the settlement of a class or collective action. Class action settlements require court approval under Rule 23(e) (if the class is certified) and FLSA settlements require approval from either the United States Department of Labor or a court. See … Continue Reading

Seventh Circuit Applies Good Faith Standard For Removal Under CAFA

On April 14, 2011, the Seventh Circuit issued an important decision regarding removal under the Class Action Fairness Act (“CAFA”). Blomberg v. Service Corp. Int’l.pdf, Case No. 11-8009 (7th Cir. Apr. 14, 2011).  The Seventh Circuit held that a party need only provide a good faith estimate, supported by evidence, to satisfy CAFA’s jurisdictional amount, … Continue Reading