Class Actions Flashcards
Class Action
A case in which a representative sue on behalf of a group
Class Action Initial Requirements
A class action must satisfy these 4 requirements: Numerosity, Commonality, Typicality, and an Adequate Representative
Numerosity
means that there are too many class members for practicable joinder
Commonality
There must be some issue in common to all class members, so resolution of that issue will generate answers for everybody in one stroke
Typicality
The class rep’s claims are typical of the claims of the class
Adequate Representative
The class rep will fairly and adequately represent the class
Type of Class Action
after satisfying the 4 requirements the class action must fall into 1 of 3 types of class actions: Prejudice, Injunctive or Declaratory Relief, Common Question or Damages
Prejudice
class treatment is necessary to avoid harm (prejudice) either to class members or to the non-class party (These types of class actions are rare)
Injunctive or Declaratory Relief
seeks an injunction or a declaratory judgement because the defendant treated the class members alike - these types of plaintiffs generally cannot seek damages
Common Question or Damages
(1) common questions must predominate over individual questions; and (2) the class action is a superior method to handle the dispute - this type of class action is frequently used for mass torts
Court Must Certify Class By:
defining the class and claims, issues, defenses
appointing class counsel who must fairly and adequately represent interests of the class
*this is immediately appealable by the losing party
Notice to Class
Only in a type 3 class action (common question or damages) the court must notify all reasonably identifiable class members that they are in a class
Notice is paid for by the representative of the class AND informs the class members
(1) they can opt out of class action;
(2) they will be bound by judgement if they do not opt out;
(3) can enter a separate appearance through counsel