4 Parties and Claims

Question 1

12 10525 MBE CIVIL PROCEDURE MULTIPLE PARTIES AND CLAIMS

The State H federal district court chose a representative for a class of 67 patients who were allegedly injured by negligent medical care at a hospital in State H and collectively suffered damages of $3,000,000. After correctly asserting diversity jurisdiction, the court certified the class upon finding that the four basic requirements for a class action had been met and that prosecution of the claims through separate actions would impair the interests of other class members. The court posted on the courthouse bulletin board its certification order, which (1) described the action, the class, and the legal claims; and (2) informed class members that they may appear through an attorney and may request an exclusion, but otherwise are bound by the class judgment. Most members of the class never saw this notice, including one patient who suffered especially severe damages as a result of the hospital’s negligence. After the class action trial was almost finished, the patient, who was unaware of the trial, filed a separate suit in the State H federal district court against the hospital.

Should the court allow that suit?

A. Yes, because the contents of the notice did not meet the requirements of the federal class action rule.

B. Yes, because the patient never received appropriate notice of the class action.

C. No, because the Class Action Fairness Act prohibits such suits.

D. No, because the court properly certified the class and was not required to provide notice of the class action.

Subject Outline: Mbe Civil Procedure
Chapter: Multiple Parties And Claims
Section: Class Actions

Answer 1

Correct Answer:
D. No, because the court properly certified the class and was not required to provide notice of the class action.

Learner Selected Answer:
C. Yes, because the patient never received appropriate notice of the class action.

A federal court has the power to certify (i.e., authorize) the following types of class actions:

• PREJUDICIAL RISK – when separate actions would create a risk of inconsistent decisions regarding the parties or impairing absent class members’ interests

Common question – when common questions of law or fact predominate over individual questions and a class action is the best method to fairly and efficiently adjudicate the dispute

Final equitable relief – when injunctive or declaratory relief is appropriate because the opposing party’s actions generally apply to the whole class

In a “common question” class action, adequate notice must be provided to all class members because they have the right to opt out of the class action and sue on their own behalf. However, in “prejudicial risk” and “final equitable relief” class actions, notice is not required because class members DO NOT have a right to opt out.