Joinder

Question 1

What is Joinder

Answer 1

Joinder rules define the scope of how many parties and claims can be joined in one case.

Two things must be trust for joinder: (1) joinder must be allowed by federal rules and (2) there must be subject matter jurisdiction over each claim

Question 2

Claim Joinder by Plaintiff

Answer 2

A plaintiff may join any additional claim she has against the adverse party, even if the additional claim is unrelated - so long as there is subject matter jurisdiction

Question 4

what is compulsory joinder and the steps

Answer 4

In certain situations, a plaintiff must join all interested parties or face dismissal of the lawsuit.

Analysis of compulsory joinder follows a three step process:
1) is the absentee necessary or required?
2) if the absentee is necessary, can the absentee be joined?
3) if the absentee can’t be joined, can the case proceed in his absence?

Question 5

Is the Absentee Necessary?

Answer 5

An absentee is necessary if one of the following is satisfied:
a) without the absentee, the court cannot accord complete relief among existing parties
b) the absentee’s interest may be harmed if she is not joined (most likely on exam)
c) the absentee claims an interest that subjects a party to a risk of multiple obligations

Question 6

A joint tortfeasors necessary parties?

Answer 6

Joint tortfeasors will never be considered a necessary party

Question 7

Can the Absentee Be Joined?

Answer 7

Joinder is feasible if:
1) there is personal jurisdiction over the absentee; and
2) there will be federal subject matter jurisdiction over the claim by or against the absentee

Question 8

Personal Jurisdiction Exception in compulsory Joinder

Answer 8

If the absentee is served within a district of the US not more than 100 miles from where the summons was issued, there is personal jurisdiction over the absentee regardless of contacts with the forum.

Question 9

Should the action proceed without the Absentee?

Answer 9

If the absentee cannot be joined, the court must decide whether the action should proceed or be dismissed (if dismissed the absentee is regarded as indispensable)

Factors the Court will consider:
- is there an alternative forum available
- What is the actual likelihood of harm to the absentee?
- Can the court shape relief to avoid harm to the absentee?

Question 10

Types of claim joinder by a defendant

Answer 10

Counterclaims (permissive and compulsory)
Cross Claims

Question 11

What is a counterclaim

Answer 11

A counterclaim is a claim against an opposing party

A counterclaim is part of the defendant’s answer

NOTE: once a counterclaim is served, the plaintiff must respond under rule 12 within 21 days of service of the counterclaim

Question 12

Compulsory Counterclaims

Answer 12

A compulsory counterclaim is one that arises from the same transaction or occurrence as the plaintiff’s claim

Unless already filed in another case, the counterclaimant must file the compulsory counterclaim in the pending case or it is waived (must be filed in the answer)

Question 13

Permissive Counterclaims

Answer 13

A permissive counterclaim is one that does not arise from the same transaction or occurrence as the plaintiff’s claim (not required to file)

However, there must be subject matter jurisdiction over any permissive counterclaim

Question 14

Crossclaim

Answer 14

A cross claim is a claim against a co-party

To assert a crossclaim, the claim must arise from the same transaction or occurrence as the underlying action

Crossclaim are not compulsory (permissive)

once a crossclaim is filed, the parties become adverse - further claims between the parties constitute counterclaims

Question 15

What is Impleader

Answer 15

an impleader claim (third party claim) is one where a defending party brings in a new party

Party bringing the claim - third party plaintiff
party being brought in - third party defendant

Question 16

When can Impleader be Used

Answer 16

A defendant party may implead a nonparty only if the nonparty may be liable to the defendant for any part of a judgment that the plaintiff may recover against the defendant (normally in the form of indemnity or contribution)

impleader is permissive - defendant is not required to bring the claim in the current case

Question 17

Process for impleading a third party defendant

Answer 17

To implead a third party defendant, the defendant must:
1) file a third party complaint naming the third party defendant; and
2) have that complaint formally served on the third party defendant

Timing:
- there is a right to implead within 14 days of the defendant serving the answer
- after the 14 days expire, court permission is needed

Question 18

Claims by third party defendant and plaintiff

Answer 18

After the third party defendant is joined, the plaintiff may assert claims against the third party defendant, and the third party defendant may assert claims against the plaintiff, that arise out of the same transaction or occurrence as the underlying case.

Question 19

Subject Matter and Venue for Impleader

Answer 19

The court must still have subject matter jurisdiction over the impleader claims

venue need not be proper to the third party defendant

Question 20

Personal Jurisdiction Exception for Impleader

Answer 20

Like an absent party, there is personal jurisdiction over an impleaded party if he is served in a district in the US and not more than 100 miles from the federal court that issued the summons.

If not there must be traditional contacts based personal jurisdiction.

Question 21

what is Intervention

Answer 21

a nonparty absentee may use intervention to bring herself into the case either as a plaintiff or defendant

Question 22

Intervention of Right

Answer 22

Intervention is of right if the absentee’s interest may be harmed if she is not joined, and that interest is not adequately represented by the current parties

Question 23

Permissive Intervention

Answer 23

Permissive intervention is available when the applicant’s claim or defense has at least one common question of law or fact with the action

• it is discretionary with the court
• it must be supported by own jurisdictional grounds

Question 24

what is Interpleader

Answer 24

interpleader permits a person in the position of a stakeholder to require two or more claimants to litigate among themselves to determine which has a valid claim

this is an attempt to avoid double liability by the stakeholder

Question 25

Rule 22 Interpleader

Answer 25

Requires (1) complete diversity between the stakeholder and all adverse claimants and in excess of $75,000, and ()2) a federal question claim

NOTE - normal service and venue rules apply

Question 26

Statutory Interpleader

Answer 26

Requires only diversity between any two claimants and $500 be in issue

NOTE - service may be nationwide and venue is proper where any claimant resides

Question 27

What is a class action

Answer 27

an action in which representatives sue on behalf of a group

Question 28

Requirements to qualify for a class action

Answer 28

to qualify for a class action, all of the following must be demonstrated:
1) Numerosity - the class is so numerous that joinder of all members is impracticable
2) commonality - there must be some question of law or fact common to all class members
3) typicality - the representative’s interests are typical of the class
4) Representative Adequate - the named representative will ensure fair and adequate representation of the class members

NOTE: once meeting these requirements, the action must still fall within one of the types of class actions

Question 29

Types of Class Actions

Answer 29

After satisfying the requirements for class actions, the action must falls within one of the three types

1) Prejudice - Class treatment is necessary to avoid prejudice to the class members or non-class members or inconsistent results

2) Injunctive or Declaratory Relief - A defendant has acted or refused to act on grounds applicable to the class and the class seeks an injunctions or declaratory relief

3) Common Question/Damages - there is a common question of fact or law to the class that predominate over individual questions, and the class action is a superior method to handle the dispute

Question 30

Certification of Class Action

Answer 30

A case is not a class action until the court grants a motion to certify it as a class action

Upon certification, the court must
1) define the class and the class claims, issues, or defenses; and
2) appoint class counsel, who must fairly and adequately represent the interests of the class

Question 31

Appeal of Certification of Class

Answer 31

However the court rules on certification, the losing party may seek a review from court of appeals in the discretion of the court of appeals

Question 32

Notice to Class Members

Answer 32

In a common question/damages action, the court must notify the class members that they are in a class (normally by mail to all reasonably identifiable members)

Notice is paid by the representative and tell the members:
1) they can opt out
2) they will be bound by the judgment if they don’t opt out
3) they can enter a separate appearance through counsel

NOTE - notice is not required for the other two types of class actions

Question 33

Binding Effect of Class Actions

Answer 33

• There is no right to opt out of a prejudice or injunctive class action which means all members are bound
• all members in a common question/damages action are bound unless they opt out

Question 34

Settlement of a Class Action

Answer 34

The court must approve the dismissal or settlement of class actions

The court must give notice to the class member of dismissal or settlement to get their feedback on whether the case should be settled or dismissed

In a common question/damages action, the court might refuse to approve settlement unless members are given a second chance to opt out

Question 35

Subject Matter Jurisdiction in Class Actions

Answer 35

Federal Question jurisdiction may be used

For diversity cases, only the citizenship of the representatives is considered and the representative’s claim must exceed $75,000

Question 36

Class Action Fairness Act (CAFA)

Answer 36

CAFA grants subject matter jurisdiction if:
1) there are at least 100 members
2) any class member (not just the rep) is of diverse citizenship of any defendant; and
3) the aggregated claims of the class exceed $5 million

Question 37

Removal Under CAFA

Answer 37

if the CAFA requirements are met, any one defendant, even an in-state defendant, may remove the case from state to federal court