While class action settlements are often the most efficient way to deliver quick relief to similarly situated class members, complexities arise when these settlements do not offer immediate relief.
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Putative class action claims often have the potential to reach individuals across state lines, therefore invoking multiple state laws. This can be an obstacle to class certification. Say a plaintiff files a lawsuit against a company that leaked their private information during a data breach, allowing third-parties to misappropriate this information. The plaintiff discovers that the data breach contained private information about many other individuals and requests to certify a class of individuals who suffered the same harm. The judge will have to decide whether individuals residing out-of-state could fall into the class description, and if so whether these potential unnamed plaintiffs need standing in order to make certification proper. The federal circuits are not in unison on this issue.
read more Settlement administrators often play a crucial role in reaching and finalizing class action settlements. These administrators can help efficiently manage settlements by ensuring precision and thoroughness. If a firm has not retained an administrator to help with a class action, there is a good chance that the court will appoint one. A court in Canada recently determined what obligations a class action settlement administrator has when evaluating an individual class member’s claim. The court concluded that the settlement agreement terms will play the biggest part in establishing an administrator’s role.
read more The legal profession as a whole is familiar with the basic principles of both class action litigation and bilateral arbitration. Class arbitration is a less common form of dispute resolution that the courts have debated for years. As the name suggests, class arbitration allows for a party to represent a class of individuals who have suffered the same harm in an arbitration setting. A major point of contention has been determining when class arbitration is appropriate and who can make this determination.
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