Category Archives: Class Actions

Tidmarsh Article on Auctioning Class Settlements

Jay Tidmarsh of Notre Dame has written Auctioning Class Settlements, forthcoming in the William & Mary Law Review. Here's the abstract: Although they promise better deterrence at a lower cost, class actions are infected with problems that can keep them from delivering on this promise. One of these problems occurs when the agents for the […]

Should substantive due process stop courts from enforcing excessive penalties in consumer contracts?

For years now, some have argued that if substantive due process prohibits disproportionately large punitive damages awards against major corporations, it also should stop courts from enforcing excessive contract damages against consumers. See Seana Valentine Shiffrin, Are Credit Card Late Fees Unconstitutional?, 15 Wm. & Mary Bill Rts. J. 457, 460 (2006). Two Ninth Circuit judges […]

AARP, Center for Science in the Public Interest, and Consumer Attorneys of California file amicus briefs in Ninth Circuit Supple appeal

I recently discussed the Ninth Circuit appeal in Cabral v. Supple, a fascinating case about consumer fraud class actions, infomercials, snake oil, the placebo effect, and behavioral economics. Our opening brief was filed last week. Yesterday, three organizations filed amicus briefs supporting us: AARP focused on the effect of marketing techniques aimed at making false health-benefit claims to […]

Snake oil, the placebo effect, and status quo bias: Should evidence of “satisfied customers” defeat a consumer fraud class action?

by Deepak Gupta Should a defendant in a consumer fraud class action be able to defeat certification through evidence that its customers say they are "satisfied," even when the the allegation is that the product is snake oil?  Or would that transform the placebo effect into a defense to fraud? That's the question the Ninth […]

Fifth Circuit Decides D.R. Horton, Overturns NLRB’s Ruling that Class-Action Bans are Unfair Labor Practices

by Deepak Gupta In a much-anticipated decision, the Fifth Circuit held today that the National Labor Relations Board overstepped its authority when it ruled that an employer violated federal labor law by requiring its employees to sign an arbitration agreement containing a class-action ban. Judge Leslie Southwick, joined by Judge King, isssued the opinion for the court. Here's […]

California Supreme Court addresses impact of Concepcion and Italian Colors

by Deepak Gupta In a 70-page opinion by Justice Goodwin Liu, the California Supreme Court on Thursday issued its eagerly anticipated decision in Sonic-Calabasas v. Moreno. Addressing the impact of both AT&T Mobility v. Concepcion and American Express v. Italian Colors for the first time, the court makes clear that unconscionability — focused on whether […]

More From Linda Mullenix on the Supreme Court’s Arbitration Decisions

Linda Mullenix of Texas has written The Court's 2012 Class Act:  A Little Bit of This, a Little Bit of That, 40 Preview of U. S. Supreme Court Cases 328 (2013). Here's the abstract: Building on the Court’s heightened interest in class action litigation, the Court during the 2012-13 term issued an unprecedented six decisions […]

Column on amicus briefs supporting rehearing in Third Circuit class-action case

by Deepak Gupta We've already blogged here quite a bit in the past few days about our rehearing petition in the Third Circuit class-action case of Carrerra v. Bayer — including this post on a recent column by Alison Frankel of Reuters.  Today, Frankel has a new story about the case. This time, she writes about the […]

Reuters Column: “3rd Circuit is trying to kill consumer class actions”

by Deepak Gupta Legal reporter Alison Frankel of Reuters has a new column highlighting the effort to seek full-court rehearing of the Third Circuit's troubling decision in Carrera v. Bayer, which holds that plaintiffs must show, before they can certify a class, how they will identify and prove the class membership of consumers who purchased the defendant's product. […]