Joinder

Question 1

What are necessary (“required”) parties that must be joined?

Answer 1

If a party is “necessary”, the court may order joinder of the absenteePROVIDED the court has personal jurisdiction over ∆ and joinder won’t mess up diversity

Necessary =

1) Without the absentee party, the courtcannot accord complete relief among those already joined (worried about multiple suits);
2) The absentee’s interest will be harmed if he isn’t joined (practical harm); OR
3) Absentee claims an interest which subjects a party (usually ∆) to possibility of multiple obligations

**NOTE: Joint tortfeasors are NOT necessary

If party CANNOT be joined, the court has 2 choices:

(1) proceed w/o absentee ∆; OR
(2) dismiss the ENTIRE case→ based on balancing:
- Existence of alternative forum where everyone can be joined
- Likelihood of real harm to any of the parties
- Ability of the court to do anything to avoid harm to absentee

** IF court, dismisses, then absentee was “indispensable”

Question 2

What claims may be joined in a pending case?

Answer 2

Type of Joinders

• Counterclaims
• Cross-claims
• Impleader
• Intervention
• Interpleader
• Class Action

Question 3

What is a counterclaim?

Answer 3

Claim against π filed with the responsive pleading (answer)

1) Compulsory CC– arises from same T/O as π’s claim MUST be filed with ∆’s answer or else waived – cannot sue on it in separate case

** Not waived if ∆ moved to dismiss without answering→ if granted, ∆ can still bring action against π in separate case

2) Permissive CC – NOT from same T/O so may assert here or a separate case.

**REMEMBER: a court must have subject matter jurisdiction over the claim!! → look to diversity, alienage, FQ first - THEN try supplemental jurisdiction

Question 4

What is a crossclaim?

Answer 4

Claim against a ∆co-party arising from same T/O as the underlying action

** You do NOT have to file a crossclaim or risk waiver (NEVER compulsory)

**REMEMBER: a court must have subject matter jurisdiction over the claim!! → look to diversity, alienage, FQ first - THEN try supplemental jurisdiction

Question 5

What is an impleader?

Answer 5

∆ joins a third-party defendant (TP∆) b/c TP∆ might be liable to the defending party for the claim against the defending party (e.g. indemnity; contribution)

∆ has right to implead within 14 DAYS after serving answer but after that need court permission

** Need personal jurisdiction over TP∆

** π & TP∆ can assert a claims against each other IF same T/O

**REMEMBER: a court must have subject matter jurisdiction over the claim!! → look to diversity, alienage, FQ first - THEN try supplemental jurisdiction

Question 6

What is a intervention?

Answer 6

Intervention= absentee wants to join a pending suit Can choose whether to intervene as a π or ∆& the court can realign her if she came in on the wrong side.

** Application to intervene must be “timely”

1) Intervention of right – must show that absentee’s interests may be harmed if she is not joined & not adequately represented now
2) Permissive intervention - A’s claim or defense & the pending case have at least one common question Court has discretion to allow intervention

**REMEMBER: a court must have subject matter jurisdiction over the claim!! → look to diversity, alienage, FQ first - THEN try supplemental jurisdiction

Question 7

What is a interpleader?

Answer 7

Interpleader= one holding money or property (stakeholder) wants to force all potential claimants into a single lawsuit to avoid multiple litigation & the threat of inconsistent results

** Court may issue injunction stopping parties from litigating ownership question in another court.

TYPES

1) Rule Interpleader
2) Statutory Interpleader

Rule Interpleader (Regular rules)

(1) Complete diversity;
(2) AIC = $75k+;
(3) regular service of process;
(4) regular venue rules

Statutory Interpleader (Simpler standard)

(1) Minimal diversity (1 claimant must be diverse from 1 other claimant - don’t even look at the stakeholder’s citizenship);
(2) AIC = $500 or more;
(3) Nationwide service of process;
(4) Venue lies in a district where any claimant resides

Question 8

What are the requirements for a class action?

Answer 8

STEP 1: Meet all 4

(1) Too numerous for practicable joinder
(2) Some questions of law or fact in common to the class
(3) Named πs claims/defenses typical of those of the class
(4) Representative will fairly & adequately represent class

STEP 2: Meet one of 3

(1) Prejudice - class treatment necessay to avoid harm to class members or to opposing party (numerous claimants to a fund would deplete)
(2) Injunction or declaratory judgment (not damages) sought because class members were treated alike by the other party (e.g. employment discrimination)
(3) Damages
(i) common questions predominate;and
(ii) class action is the superior method

Question 9

What actions does a court take in a class action?

Answer 9

1) Determine “at any early practicable time” whether to CERTIFY the case to proceed as a class action
2) Appoint class counsel
3) In a damages type class (ONLY), notify (often by mail, paid for by class representative) all reasonably identifiable members, telling them various things, including:
- can opt out;
- binding effect of a class judgment on class members;
- AND can enter separate appearance through counsel
4) All members of the class are bound, EXCEPT those who opt out of the damage type class (NOTE: there is NO right to opt out of a “prejudice” or “injunction” class)
5) Parties can dismiss OR settle a certified class action ONLY w/ court approval

Question 10

How do you show subject matter jurisdiction in a class action?

Answer 10

Needs subject matter jurisdiction and can be based on:

- Fed Q
- Diversity (based on representative)												

Class Action Fairness Act contains a grant of subject matter jurisdiction separate from regular diversity
- Any class member is diverse from any ∆
- 100 class members or more
- Aggregate amount in controversy exceeds $5M