Claim and Issue Preclusion

Question 1

What is Offensive Issue Preclusion?

Answer 1

Offensive estoppel is used by a plaintiff in the second action to establish an issue from the first action—with limited exceptions.

Not permitted if:
- plaintiff could have easily joined first action
- defendant had little incentive to vigorously defend in first action
- second action affords procedural opportunities unavailable in first action or
- inconsistent findings on issue exist

Question 2

Assume Parties A, B, and C were parties to the first action.

In the second action, which of the following is: mutual issue preclusion, no mutual issue preclusion, and no issue preclusion?

Party A —> Party C

Party X —> Party C

Party C —> Party X

Answer 2

Mutual issue preclusion: Party A —> Party C
- assertion against EITHER party is permitted

Party X —> Party C
- assertion against Party C is permitted

Party C —> Party X
- assertion against Party X is PROHIBITED

Question 3

When will claim preclusion (res judicata) apply?

Answer 3

The doctrine of claim preclusion (res judicata) provides that a final judgment on the merits of an action precludes the parties from successive litigation of an identical claim in a subsequent action.

Requirements:
(1) Plaintiff and defendant must be the same and in the same roles in both actions.
(2) The claims in both actions are sufficiently identical.
(3) the original action must be a valid final judgment on the merits
- court had PJx, SMJx; D had proper notice and opp to be heard; court must have nothing further to do but order entry of judgment
- decision must be made on merits of claim/defense

Question 4

What is required for issue preclusion (collateral estoppel)?

Answer 4

The doctrine of issue preclusion (collateral estoppel) precludes the relitigation of issues of fact or law that have already been necessarily determined by a judge or jury as part of an earlier claim.

Requirements:
(1) party against whom the issue is to be precluded must have been a party to the original action (aka if Party A wants to use issue X against Party B, then Party B must’ve been in og action)

(2) issue sought to be precluded must be the same as that involved in the prior action

(3) the issue must have been actually litigated in the prior action

(4) the issue must have been determined by a valid and binding final judgment; and

(5) the determination of the issue must have been essential to the prior judgment.