On October 28, 2022, the U.S. Court of Appeals for the Fourth Circuit in Alig v. Rocket Mortgage vacated and remanded for reconsideration a district court order certifying a class of mortgage borrowers, highlighting an important Article III standing issue in class action lawsuits.  See Alig v. Rocket Mortgage, LLC, 52 F.4th 167 (4th Cir. 2022).  The Alig decision relies on the United States Supreme Court’s decision in TransUnion LLC v. Ramirez and follows a grant of certiorari, vacatur, and remand from the U.S. Supreme Court.  The decision provides further ammunition for the argument that all putative class members must have a demonstrable injury in order to recover damages in a class action.  Indeed, the grant of certiorari by the Supreme Court in Alig is itself a signal that this defense is one that should not be discounted by defendants finding themselves the subject of class action litigation.…

Continue Reading Fourth Circuit Vacates and Remands Class Certification Decision in Accordance with Supreme Court’s Directive to Consider Ramirez’s Effect on Issues of Standing in Mortgage Class Action

On October 7, 2022, the U.S. Court of Appeals for the Fifth Circuit denied a purported class representative’s attempt to intervene in a class action. The class representative had argued that his interests were not adequately represented.…

Continue Reading U.S. Court of Appeals’ Continued Skepticism Over Putative Class Member Motions to Intervene

In a recent case addressing the novel issue of whether foreign law trumped United States law for purposes of class action tolling, the U.S. Court of Appeals for the Eleventh Circuit concluded that Colombian law on equitable tolling applied, even though the defendant was based in New Jersey.
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Continue Reading Eleventh Circuit Concludes that Foreign Country’s Equitable Tolling Standards Can Apply in Federal Class Action

In Kelly v. RealPage, Inc., the Third Circuit held that a small subclass of consumers could proceed on their class action against RealPage based on the company’s failure to provide them with required third-party information in credit reports.  In issuing the decision, the court is one of the first Circuit Courts to squarely address the scope of what constitutes an “informational injury” in the wake of the Supreme Court’s recent decision in Transunion LLC  v. Ramirez, 141 S. Ct. 2190 (2021).
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Continue Reading Third Circuit Decision Provides Post-Transunion Guidance on Informational Injuries and Ascertainability

A recent lawsuit alleges that Skittles consumers “are at heightened risk of a host of health effects” because Skittles uses titanium dioxide (TiO2).  TiO2 is considered an inert and safe material, and for decades has been used in a range of consumer products including house paint, ceramics, paper, and printing inks.  In fact, you can…

On August 15, 2022, the U.S. Court of Appeals for the Fifth Circuit vacated a class-certification order on a Rule 23(f) appeal after sua sponte holding that the named plaintiff had no standing to sue.  The case is yet another example of how federal courts closely examine standing following the U.S. Supreme Court’s mandate in TransUnion LLC v. Ramirez, — U.S. —, 141 S. Ct. 2190 (2021): “Every class member must have Article III standing in order to recover individual damages.”  Id. at 2208.
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Continue Reading Fifth Circuit Sua Sponte Vacates Class-Certification Order for Lack of Standing

During a span of less than two months, a group of Arkansas lawyers filed 22 class action suits in Lonoke County, Arkansas, alleging violations of the Magnuson-Moss Warranty Act. Here are five key items to know:…
Continue Reading Manufacturers and Retailers Beware: New Warranty Class Actions

On Wednesday, August 3, 2022, the Eleventh Circuit confirmed the groundbreaking decision that incentive payments given to a named plaintiff in a class action are improper by denying a petition for rehearing en banc that had been pending for almost 22 months.  See Johnson v. NPAS Solutions, LLC, No. 18-12344, “Slip Op.” (11th Cir.…

In Drazen v. Pinto, –F.4th–, 2022 WL 2963470 (July 27, 2022), the Eleventh Circuit vacated a district court’s decision to certify a class under Rule 23 and approve the class settlement because the class included members who lacked Article III standing.

This case involves three consolidated class actions against GoDaddy.com, each of which alleges the company violated the Telephone Consumer Protection Act of 1991 (“TCPA”) by using a prohibited automatic telephone dialing system to make unsolicited contact with plaintiffs through calls and texts to market its services and products. …

Continue Reading Eleventh Circuit Vacates Class Certification and Settlement Based on Lack of Standing for Class Members

Appellee Thomas Fox and others failed to pay their delinquent property taxes in certain Michigan counties and had their property foreclosed on and sold. However, the counties kept all of the sale proceeds and not just the money that was owed. In some cases, the counties kept tens of thousands of dollars beyond what was owed. Therefore, Fox brought a class action seeking recovery of the surplus funds.
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Continue Reading Sixth Circuit Addresses Pre-Certification and Post-Certification Engagement of Potential Class Members in Class Actions