Justia Class Action Opinion Summaries
Articles Posted in Constitutional Law
Perdue v. Green
Immediately following the release of the Supreme Court's previous decision in this case, the Alabama Legislature passed Act No. 2012-198, Ala. Acts 2012, which repealed the statutory provision that underpinned the decision in "Perdue I." In the prior case, the Court vacated the circuit court's judgment that approved a settlement agreement that ended class-action litigation involving the Alabama Prepaid Affordable College Tuition (PACT) program. Class member Carol Perdue objected to the trial court's approval of the settlement; the Supreme Court originally rejected plaintiffs' argument that Ala. Code 16-33C-19 did not prohibit the PACT Board from entering into the settlement, and that the agreement was "clearly contrary to state law." The Legislature specifically repealed 16-33C-19 and caused the Court to revise its previous decision. The Court found that the trial court exceeded its discretion in finding the settlement was fair, adequate and reasonable, found the retroactive application of the 2012 Act constitutional, and remanded the case for further proceedings.View "Perdue v. Green" on Justia Law
Posted in:
Class Action, Constitutional Law
McKenzie Check Advance of Fla., LLC v. Betts
Plaintiffs filed a class action complaint against a check advance company, asserting claims based on numerous Florida statutes. Plaintiffs later amended the complaint to add Tiffany Kelly as an additional plaintiff and named class member. Because Kelly had signed the version of Defendant's arbitration agreement that contained a class action waiver, this case focused on her contracts with Defendant. The trial court eventually denied Defendant's motion to compel arbitration, ruling that the class action waiver was unenforceable because it was void as against public policy. The court of appeal affirmed, finding that no other reasonable avenue for relief would be available if it enforced the class action waiver. After the court of appeal decided this case, the U.S. Supreme Court issued its decision in AT&T Mobility, LLC v. Concepcion. Applying the rationale of Concepcion to the facts set forth in this case, the Supreme Court quashed the court of appeal's decision, holding that the Federal Arbitration Act preempted invalidating the class action waiver in this case on the basis of the waiver being void as against public policy.View "McKenzie Check Advance of Fla., LLC v. Betts" on Justia Law
Posted in:
Antitrust, Arbitration & Mediation, Class Action, Constitutional Law, Consumer Law, Contracts
Doe v. Southern Gyms, LLC
In 2010, plaintiff Jane Doe was contacted by detectives in the Baton Rouge Police Department and asked to identify whether she was the subject of a photograph, obtained from a video, captured by a pen camera which had been surreptitiously placed in the women’s shower/changing room of a fitness center in downtown Baton Rouge. Plaintiff was a member of a gym called “Anytime Fitness,” a fitness center owned by Southern Gyms, LLC. Further investigation by police revealed that an assistant manager and trainer at the fitness center secretly videotaped the plaintiff and other women in the women’s shower/changing room of the gym. The police told the plaintiff her image was one of four women discovered on the pen camera when the pen camera was turned over to police. Telschow was arrested and prosecuted for video voyeurism. He ultimately pleaded guilty to four counts of video voyeurism and sentenced to a nine month term of imprisonment. Ultimately the issue before the Supreme Court was whether the lower courts correctly applied the standards for analyzing class action certification set forth in La. C.C.P. art. 591, et seq. After reviewing the record and the applicable law, the Court found the lower courts erred in concluding the plaintiff satisfied the threshold requirement of numerosity, necessary for class certification. Accordingly, the Court reversed the district court's judgment which granted plaintiff’s motion for class certification.
View "Doe v. Southern Gyms, LLC" on Justia Law
State v. Estrada
After a jury trial, Defendant was convicted of rape and first-degree sexual abuse and sentenced to life imprisonment and ten years' imprisonment, respectively. Defendant subsequently filed a petition for postconviction relief, alleging several claims of ineffective assistance of counsel. The circuit court granted Defendant a new trial based on one ground of ineffective assistance as to the rape conviction and two grounds of ineffective assistance as to the sexual-abuse conviction. The State appealed. The Supreme Court affirmed the circuit court's grant of a new trial based on ineffective assistance of counsel, holding that, based on the standard of review under Strickland v. Washington, the circuit court was not clearly erroneous in its rulings on both of Defendant's convictions.View "State v. Estrada" on Justia Law
Strawn v. Farmers Ins. Co.
Plaintiff Mark Strawn, the plaintiff in a class action case, petitioned for an award of attorney fees and costs incurred for the appellate work done on review before the Supreme Court in the underlying matter. In addition, Strawn sought two supplemental fee awards: one for the cost of litigating the fee petition, and the other for the cost of defending against a petition for certiorari in the United States Supreme Court after the Oregon court issued its decision. Further, Strawn sought a $5,000 incentive fee for his service on review as class representative. The issues raised by this appeal included: (1) the appropriate method for determining the amount of a reasonable fee award in a case that involved both a statutory fee-shifting award and a common-fund award; (2) the propriety of applying a multiplier to the awards; (3) how fees should be apportioned between the fee-shifting and the common-fund awards; (4) whether this court has authority to award attorney fees for work done in opposing a petition for writ of certiorari to the United States Supreme Court; (5) whether a court has authority to award post-opinion, prejudgment interest on court-awarded attorney fees; and (6) whether an appellate court may award a class representative a class incentive fee on appeal and review. Strawn filed a class action against Farmers raising two contractual claims (breach of contract and breach of the covenant of good faith) and one common law claim (fraud) in connection with auto insurance policies written by Farmers. The jury found for the class on the contractual claims and the fraud claim, and it made a single award of compensatory damages on those claims. In addition, and for the fraud claim only, the jury awarded punitive damages. The Supreme Court took the opportunity of this case to discuss the methodology appropriate to award fees based on the issues raised in the appeal, and made adjustments as deemed necessary in compliance with the limits of Oregon law.View "Strawn v. Farmers Ins. Co. " on Justia Law
Posted in:
Class Action, Constitutional Law
People v. Pealer
After his vehicle was stopped by a police officer, Defendant was arrested for driving while intoxicated, and a breathalyzer test computed his blood alcohol content at close to twice the legal limit. Defendant was subsequently indicted for felony DWI. During the jury trial, the People offered into evidence documents pertaining to the routine calibration and maintenance of the breathalyzer machine used in Defendant's breath test to demonstrate it was in proper working order at the time Defendant was tested. Defendant raised a Confrontation Clause challenge to the documents, contending that he was entitled to cross-examine the authors of the records. The county court allowed the documents to be received in evidence, and Defendant was convicted of felony DWI. The appellate division affirmed. The Court of Appeals affirmed, holding that documents pertaining to the routine inspection, maintenance, and calibration of breathalyzer machines are nontestimonial, and consequently, the Confrontation Clause was not implicated in this case, and the trial judge did not err in declining Defendant's request to cross-examine the authors of the testing records before the court ruled on their admissibility.View "People v. Pealer" on Justia Law
In Re Celera Corporation Shareholder Litigation, et al. v. New Orleans Employees’ Retirement System, et al.
Appellant BVF Partners L.P. ("BVF") appealed a Chancery Court certification of Appellee New Orleans Employees' Retirement System ("NOERS") as class representative in this action challenging the acquisition of Celera Corporation ("Celera") by Quest Diagnostics, Inc. ("Quest"). BVF also appealed the Court of Chancery's approval of a class action settlement without an opt out right for BVF between NOERS and Defendants-Appellees Richard H. Ayers, Jean-Luc Belingard, William G. Green, Peter Barton Hutt, Gail M. Naughton, Kathy Ordonez, Wayne I. Roe, Bennett M. Shapiro, Celera Corporation, Quest Diagnostics Incorporated, and Spark Acquisition Corporation ("Spark"). BVF contended that the Court of Chancery erred in certifying NOERS as the class representative, because NOERS lacked standing to represent the class. BVF argued that when NOERS sold its stock in Celera on the public market (before the merger was actually consummated and nearly a year before the
Court of Chancery certified the class) NOERS no longer had a legally cognizable stake in the outcome of the litigation. BVF raised multiple other grounds for why the Court of Chancery erred in certifying NOERS as class representative, including that NOERS was uniquely susceptible to equitable defenses and was therefore an improper class representative. Even if that certification was proper, BVF argued that the Court of Chancery should have exercised its discretionary powers to allow BVF to opt out of the class in order to pursue its individual claims for monetary damages against the defendants. Upon review, the Supreme Court agreed with the Court of Chancery that NOERS had standing to represent the class. The Court declined to adopt a rule of law that a shareholder class representative in a breach of fiduciary duty action must own stock in the corporation continuously through the final class certification. With regard to BVF's other arguments regarding NOERS' certification as class representative, the Court found them "unconvincing." The Court concluded that the Court of Chancery did not abuse its discretion in certifying the class, however, there was merit to BVF's claim that the Court of Chancery should have exercised its discretion to allow BVF to opt out of the shareholder class under the circumstances of this case. Accordingly, the Court affirmed in part and reversed in part.
View "In Re Celera Corporation Shareholder Litigation, et al. v. New Orleans Employees' Retirement System, et al." on Justia Law
Mattson v. Mont. Power Co.
This appeal was the third in the course of this litigation. Plaintiffs were a group of landowners with properties on the shores of Flathead Lake and a portion of the upper Flathead River. Plaintiffs commenced this action in 1999 against Montana Power Company (MPC) and MPC's successor, PPL Montana, LLC, asserting claims of trespass, nuisance, a taking of property, and breach of easements. In Mattson II, Plaintiffs filed motions to certify the lawsuit as a class action. The district court granted the motions as to both Defendants. The Supreme Court vacated the district court's orders concerning class certification. On remand, the district court denied Plaintiffs' renewed motion for class certification. The Supreme Court reversed, holding (1) the district court erred in its application of Mattson II to the class-certification question under Mont. R. Civ. P. 23; and (2) the six criteria for certification of a class action under Rule 23 were satisfied in this case. Remanded with instructions to certify the class. View "Mattson v. Mont. Power Co." on Justia Law
Duckworth v. Louisiana Farm Bureau Mutual Ins. Co.
The Supreme Court granted certiorari in these consolidated cases to resolve an issue of first impression: whether a member of a putative class was entitled to the suspension of prescription provided for in La. C.C.P. art. 596 when an independent,
individual lawsuit is filed prior to a ruling on the class certification issue. The respective district courts in each of these cases sustained exceptions of prescription, dismissing plaintiffs' individual lawsuits filed prior to a resolution of the class
certification issue in class action proceedings in which the plaintiffs were putative members. The court of appeal affirmed the dismissals, finding that the filing of an individual lawsuit by a member of a putative class prior to a ruling on the class certification issue operates as an "opt out" of the class action and a forfeiture of the suspension provisions of La. C.C.P. art. 596. After reviewing the relevant statutory provisions, the Supreme Court found that because plaintiffs were members of a class asserted in a class action petition, they were entitled to the benefits of the suspension of prescription provided under La. C.C.P. art. 596, notwithstanding that they also filed individual actions prior to a resolution of the class certification issue. As a result, the Court reversed the judgments of the lower courts sustaining exceptions of prescription to the petitions of the plaintiffs and remanded these matters to the respective district courts for further proceedings.View "Duckworth v. Louisiana Farm Bureau Mutual Ins. Co." on Justia Law
Quinn v. Louisiana Citizens Property Insurance Corp.
The Supreme Court granted certiorari in this case to consider two separate, but related issues: (1) whether the suspension of prescription provided for in La. C.C.P. art. 596 extended to a putative class member who filed an individual claim after a ruling on the class certification issue and, if so, (2) whether La. C.C.P. art. 596 suspended prescription when the putative class action is filed in another jurisdiction. After reviewing the relevant statutory provisions, the Court found that the filing of an individual lawsuit after a ruling on class certification does not operate as an "opt out" of a class action proceeding and a forfeiture of the benefits of suspension provided in La. C.C.P. art. 596, but that the provisions of La. C.C.P. art. 596 do not extend to suspend prescription on claims asserted in a putative class action filed in a federal court. As a result, the Court reversed the district court's judgment denying the defendant's exception of prescription, sustain the exception, and remanded this case to the district court to allow plaintiffs the opportunity to amend the petition, if they could, to allege facts to show their claims were not prescribed. View "Quinn v. Louisiana Citizens Property Insurance Corp." on Justia Law