Abuse of the arbitration system by plaintiffs’ lawyers through the filing of mass arbitrations is by now well-documented, including in a paper we authored for the Chamber of Commerce’s Institute for Legal Reform. Companies have responded by revising arbitration agreements
Latest from Class Defense Blog
The implications of skyrocketing fraudulent claims in class action settlements
In recent years, parties entering into class settlements—largely at the urging of courts—have sought to boost the rate at which class members participate in those settlements by reducing gating requirements for submitting claims. In an increasing number of cases, claims
Seventh Circuit reverses order forcing Samsung to pay arbitration fees for mass arbitration
The Seventh Circuit’s recent decision in Wallrich v. Samsung Electronics America, Inc. is significant news in the world of mass arbitration. In recent years, businesses have faced an increasing risk of being targeted by abusive mass arbitration campaigns that seek
American Arbitration Association updates its mass arbitration rules and fee schedules
The AAA recently announced a new set of rules of mass arbitrations, as well as new fee schedules for consumer and worker arbitrations. We and some of our colleagues wrote a Legal Update about the changes, how they impact businesses,
Supreme Court rejects Due Process Clause challenge to Pennsylvania statute requiring out-of-state corporations to consent to jurisdiction as a condition of registering to do business
The Supreme Court’s recent decision in Mallory v. Norfolk Southern Railway Co. creates substantial uncertainty over whether companies that register to do business in certain states can be subject to personal jurisdiction for claims unrelated to the forum—because those states
Supreme Court holds that district courts must stay proceedings pending appeals of orders denying arbitration
Today the Supreme Court held that when a party files an immediate appeal of a federal district court order denying arbitration, the district court must stay its proceedings relating to the merits (including discovery) during the appeal. The decision in Coinbase
D.C. Circuit rejects freestanding rule against “fail-safe” classes
The D.C. Circuit recently deepened a circuit split over whether district courts may certify a “fail-safe” class. In In re White, 64 F.4th 302 (D.C. Cir. 2023),the D.C. Circuit agreed that fail-safe classes are generally improper, but rejected the
The importance of scrutinizing standing to seek injunctive relief in defending or settling false-advertising suits
State consumer-protection statutes frequently authorize claims for class-wide injunctive relief; notably, California courts have fashioned a similar remedy allowing for injunctions on behalf of the “general public.” Plaintiffs bringing class actions alleging that a company’s advertising is deceptive or misleading
Supreme Court declines to hear challenge to validity of incentive awards
A common feature in class action settlements is an incentive (or service) award for each named plaintiff—an extra payment above and beyond what they would receive as ordinary class members that is in theory designed to compensate them for the
Supreme Court hears oral argument in cases involving stays pending appeals of orders denying motions to compel arbitration
This morning we attended the Supreme Court’s oral arguments in Coinbase, Inc. v. Bielski. The issue presented in Coinbase is a procedural one, but of tremendous practical importance to defendants that seek to enforce arbitration agreements: does an appeal