Justia Class Action Opinion Summaries

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The Indiana Supreme Court heard a case involving a dispute between Tonia Land and the IU Credit Union (IUCU). When Land became a customer at the credit union, she was given an account agreement that could be modified at any time. Later, when she registered for online banking, she accepted another agreement that allowed the IUCU to modify the terms and conditions of the services. In 2019, the IUCU proposed changes to these agreements, which would require disputes to be resolved through arbitration and prevent Land from initiating or participating in a class-action lawsuit. Land did not opt out of these changes within thirty days as required, which, according to the IUCU, made the terms binding. However, Land later filed a class-action lawsuit against the credit union, which attempted to compel arbitration based on the addendum.The court held that while the IUCU did provide Land with reasonable notice of its offer to amend the original agreements, Land's subsequent silence and inaction did not result in her assent to that offer, according to Section 69 of the Restatement (Second) of Contracts. The credit union petitioned for rehearing, claiming that the court failed to address certain legal authorities and arguments raised on appeal and in the transfer proceedings.Upon rehearing, the court affirmed its original decision, rejecting the credit union's arguments. However, the court also expressed a willingness to consider a different standard governing the offer and acceptance of unilateral contracts between businesses and consumers in future cases. The court found no merit in the credit union's arguments on rehearing and affirmed its original opinion in full. View "Land v. IU Credit Union" on Justia Law

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A group of current and former inmates, or their representatives, filed a class action lawsuit against Kate Brown, the Governor of Oregon, and Patrick Allen, the Director of the Oregon Health Authority, claiming that the state's COVID-19 vaccine rollout plan, which prioritized corrections officers over inmates, violated their Eighth Amendment rights. The defendants moved to dismiss the claim, asserting immunity under the Public Readiness and Emergency Preparedness (PREP) Act. The district court denied the motion, and the defendants appealed.The United States Court of Appeals for the Ninth Circuit reversed the district court's decision, finding that the defendants were immune from liability for the vaccine prioritization claim under the PREP Act. The court held that the statutory requirements for PREP Act immunity were met because the "administration" of a covered countermeasure includes prioritization of that countermeasure when its supply is limited. The court further concluded that the PREP Act's provisions extend immunity to persons who make policy-level decisions regarding the administration or use of covered countermeasures. The court also held that the PREP Act provides immunity from suit and liability for constitutional claims brought under 42 U.S.C. § 1983, even if those claims are federal constitutional claims. View "MANEY V. BROWN" on Justia Law

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In this case, a group of patients initiated a class action lawsuit against various hospitals and vendors who provide medical record production services to the hospitals. The plaintiffs alleged that the hospitals and vendors were involved in an illegal kickback scheme, where the vendors charged patients excessive prices for their medical records and used the profits to offer free and discounted pages to the hospitals for other types of medical records. The plaintiffs alleged violations of New York Public Health Law (PHL) § 18(2)(e) (which restricts the price that can be charged for medical records), New York General Business Law (GBL) § 349 (which prohibits deceptive business practices), and unjust enrichment. However, the New York Court of Appeals had previously ruled in Ortiz v. Ciox Health LLC that PHL § 18(2)(e) does not provide a private right of action.The United States Court of Appeals for the Second Circuit affirmed the district court's dismissal of all the plaintiffs' claims. It found that the patients' GBL § 349 and unjust enrichment claims were essentially repackaging their PHL § 18(2)(e) claims, and therefore not cognizable as they attempted to circumvent the Ortiz ruling. The court also held that the plaintiffs failed to allege any actionable wrongs independent of the requirements of PHL § 18(2)(e). The court concluded that the plaintiffs failed to state a claim, and as such, the district court did not err in granting the defendants' motions for judgment on the pleadings, in denying the plaintiffs' cross-motion for summary judgment as moot, and in denying the plaintiffs' leave to file a second amended complaint. View "McCracken v. Verisma Systems, Inc." on Justia Law

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In this case, three chiropractors and their respective business entities sued Wellmark, Iowa’s largest health insurer and claims administrator, alleging that the company violated Iowa antitrust laws through its Administrative Service Agreements with over 400 Iowa employers who self-fund healthcare benefits for their employees. The chiropractors argued that without these agreements, the self-funded employers would compete independently for chiropractic services, resulting in higher profits for chiropractors. The chiropractors filed a motion to certify a class of approximately 1,300 Iowa chiropractors. However, the Supreme Court of Iowa affirmed the district court's decision to deny class certification, concluding that the chiropractors failed to meet the predominance requirement for class certification as they could not prove the threshold issue of antitrust injury on a classwide basis. The court found that proving whether individual chiropractors would be better or worse off without Wellmark’s agreements would require numerous mini-trials, and thus, individual questions predominated over common questions. Additionally, the court applied the doctrine of judicial estoppel to prevent the chiropractors from belatedly reviving a different liability theory that they had previously abandoned to avoid a motion to dismiss. View "Chicoine v. Wellmark, Inc." on Justia Law

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In the case before the United States Court of Appeals for the Fourth Circuit, the plaintiff, Career Counseling, Inc., alleged that the defendant, AmeriFactors Financial Group, LLC, sent an unsolicited advertisement by fax to the plaintiff and thousands of other recipients in violation of the Telephone Consumer Protection Act of 1991 (TCPA), as amended by the Junk Fax Prevention Act of 2005.The plaintiff sought to represent a class of nearly 59,000 other persons and entities who were sent the same fax. The district court denied class certification on the grounds that the class was not readily identifiable or ascertainable. It found that the TCPA prohibits unsolicited advertisements sent to stand-alone fax machines, but not those sent to online fax services. Therefore, it was necessary to distinguish between recipients who were using stand-alone fax machines and those using online fax services. The court held that the plaintiff failed to demonstrate this distinction, rendering the proposed class unascertainable.On appeal, the Fourth Circuit affirmed the district court's decision, agreeing that the proposed class was not readily identifiable or ascertainable. It agreed with the lower court's interpretation of the TCPA, which it determined based on the statute's plain language, that an online fax service does not qualify as a "telephone facsimile machine" under the TCPA. Therefore, users of online fax services could not be included in the proposed class.Additionally, the court affirmed the district court's award of summary judgment to Career Counseling on its individual TCPA claim against AmeriFactors. It concluded that there was insufficient evidence to dispute AmeriFactors' liability as the "sender" of the fax, rendering AmeriFactors liable for sending the unsolicited fax to Career Counseling. View "Career Counseling, Inc. v. Amerifactors Financial Group, LLC" on Justia Law

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In this case, the Supreme Court of the State of Washington was asked to consider a class action suit brought by patients against MultiCare Health System, Inc., a Washington corporation that operates Good Samaritan Hospital. The suit arose after a nurse employed by MultiCare, Cora Weberg, improperly diverted injectable narcotics for her own use and infected some emergency department patients with hepatitis C. The patients claimed that MultiCare failed to meet the accepted standard of care in supervising and hiring Nurse Weberg. The trial court divided the class into two groups: those who were assigned to Nurse Weberg and those who were not. It then dismissed the claims of the second group. The trial court ruled that legal causation was not satisfied because Nurse Weberg did not directly treat these patients. The Court of Appeals affirmed this decision.However, the Supreme Court of the State of Washington reversed both courts and held that legal causation is satisfied. The court held that both classes can proceed with their chapter 7.70 RCW claims, which govern civil actions for damages for injury occurring as a result of health care. The court reasoned that the General Treatment Class's injuries arose as a result of health care, allowing their claim under chapter 7.70 RCW to proceed. The court also found that legal causation is satisfied when a hospital’s negligent supervision and hiring potentially exposes patients to a bloodborne pathogen, inducing fear and requiring blood testing. Thus, the court concluded that the General Treatment Class's claims should not have been dismissed. View "M.N. v. MultiCare Health Sys., Inc." on Justia Law

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In the case before the United States Court of Appeals for the Fourth Circuit, plaintiff Carla J. Kappel, acting on behalf of her deceased ex-husband's estate and as mother to their minor children, sued LL Flooring, Inc., alleging that the company's Chinese-manufactured laminate flooring caused her ex-husband's death due to exposure to formaldehyde.The district court dismissed Kappel's wrongful death lawsuit, arguing that her claim was barred by a settlement agreement that had been reached in connection with two multidistrict litigation (MDL) actions related to LL Flooring's products. The court maintained that the deceased, Mr. Tarabus, was a class member subject to that settlement agreement and thus his claims, including any claims involving bodily injuries or death caused by the subject flooring, had been settled.On appeal, Kappel argued that the district court lacked subject matter jurisdiction to make the dismissal order and that the MDL settlement agreement did not bar her wrongful death lawsuit on behalf of the children. The Court of Appeals agreed with Kappel's latter argument and held that the settlement agreement failed to resolve Kappel’s wrongful death lawsuit.The Court found that the claims in Kappel's lawsuit, which concerned the bodily injuries Mr. Tarabus experienced and the alleged causal connection between the laminate flooring and his cancer diagnosis, were materially distinct from the claims in the MDL proceedings. Notably, the settlement class representatives had twice made clear that they were not pursuing personal injury claims on a class-wide basis, and at no point did any class representative ever allege or pursue a wrongful death lawsuit.Therefore, the Court vacated the lower court's dismissal of Kappel's lawsuit and remanded the case for further proceedings. View "Kappel v. LL Flooring, Inc." on Justia Law

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The United States Court of Appeals for the Eleventh Circuit considered whether consumers can recover statutory damages under the Fair Credit Reporting Act (FCRA) without proving actual damages caused by a consumer reporting agency's willful violation of the Act. The case was brought by plaintiffs Omar Santos and Amanda Clements on behalf of a class of individuals, against Experian Information Solutions, Inc. The plaintiffs alleged that Experian willfully violated its obligation under the FCRA to ensure consumer credit reports were prepared with maximum possible accuracy, allowing credit reports to reflect inaccurately updated status dates. The district court denied class certification, holding that the FCRA required proof of actual damages.The Eleventh Circuit vacated and remanded the district court's decision, holding that consumers do not need to prove actual damages to recover statutory damages under the FCRA. The court found that the FCRA allows consumers to recover damages of not less than $100 and not more than $1,000 for a willful violation of the Act, regardless of whether they can prove actual damages. The court cited the plain language of the Act, the structure of the statute, and the Act's legislative history in reaching its decision. The court also noted that its interpretation was consistent with the holdings of other circuit courts that have addressed this issue. The case was remanded for further proceedings consistent with this interpretation. View "Santos v. Experian Information Solutions, Inc." on Justia Law

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Elaine Neidig, individually and on behalf of a class, sued Valley Health System, a health care provider, for unfair and deceptive practices, unjust enrichment, and breach of contract. Neidig had received three mammograms at Valley Health's Winchester Medical Center between March 2016 and June 2019. In July 2019, federal inspectors found that the center's staff were not correctly positioning or compressing women's breasts during mammograms, leading to serious image quality deficiencies. Valley Health then had to alert all at-risk patients, including Neidig, of the mammography quality problems. Neidig, who did not allege any physical or emotional harm resulting from the low-quality mammograms, sued Valley Health in August 2022. Valley Health moved to dismiss the case on the basis that it was filed beyond the two-year statute of limitations provided by the West Virginia Medical Professional Liability Act. The United States District Court for the Northern District of West Virginia agreed with Valley Health and dismissed Neidig's claims as untimely. Neidig appealed the decision to the United States Court of Appeals for the Fourth Circuit.Upon review, the Fourth Circuit concluded that the case presented a novel issue of state law that needed to be addressed by the Supreme Court of Appeals of West Virginia. The issue was whether a plaintiff's claims can fall under the West Virginia Medical Professional Liability Act if the plaintiff does not claim any form of physical or emotional injury. The Fourth Circuit certified this question to the Supreme Court of Appeals of West Virginia for resolution. View "Neidig v. Valley Health System" on Justia Law

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In this class action case, Nicole DeMarinis and Kelly Patire, current and former employees of Heritage Bank of Commerce, brought a case under the California Private Attorneys General Act of 2004 (PAGA) against Heritage Bank for wage and hour and other Labor Code violations. The Court of Appeal of the State of California First Appellate District Division Three affirmed the trial court’s decision, rejecting Heritage Bank’s argument to compel arbitration of plaintiffs’ individual PAGA claims based on a waiver in their arbitration agreement.In the agreement, the plaintiffs had waived their right to bring any claims against each other in any class or representative proceeding. The bank argued that the denial of arbitration was erroneous because the waiver provision was enforceable, pertaining only to plaintiffs’ nonindividual PAGA claims. The court, however, found that the provision violated public policy as it required plaintiffs to completely abandon their right to bring both individual and nonindividual PAGA claims in any forum.The court also found that the waiver provision's nonseverability clause and a "poison pill" provision, which stated that if the waiver provision is found unenforceable, then the entire arbitration agreement is null and void, precluded severance of the unenforceable nonindividual PAGA claims waiver. Consequently, the court concluded that the unenforceability of the waiver provision rendered the entire arbitration agreement null and void, thereby affirming the trial court's decision denying the motion to compel arbitration. View "DeMarinis v. Heritage Bank of Commerce" on Justia Law