In securities fraud class actions, plaintiffs must prove that a stock was traded in an efficient market in order to invoke a presumption that—under the fraud-on-the-market theory articulated in Basic Inc. v. Levinson, 485 U.S. 224, 247 (1988)—issues of reliance
Inside Class Actions
The latest developments and trends affecting class actions
Inside Class Actions, published by Covington & Burling LLP, focuses on developments and legal issues in class action litigation. The blog covers topics such as multidistrict litigation (MDL) procedures, class certification challenges, predominance and ascertainability standards, consumer protection class actions, antitrust class actions, and state and federal regulatory impacts on class litigation. It discusses recent court decisions affecting class action strategies, including evidentiary and procedural requirements, damages modeling, and preemption issues under federal statutes. The blog provides insights relevant to litigators, corporate counsel, and policymakers involved in complex class action and mass tort cases.
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Latest from Inside Class Actions
Dude, Where’s My Misrepresentation? Ninth Circuit Overturns Class Certification Against Tesla Where Court Improperly Inferred Classwide Exposure to Alleged Misrepresentation
Plaintiffs seeking to certify a class action in a false advertising or other consumer protection or fraud lawsuit must show that common issues predominate, including that the entire class was exposed to the allegedly false statement. In California, plaintiffs often…
N.D. Cal. Denies Class Certification in CIPA Tracking Case for Lack of Common Proof
In Hinton v. Planned Parenthood Federation of America, Inc., No. 23-cv-04529-JD, 2026 WL 2959993 (N.D. Cal. Sept. 30, 2026), the court denied class certification in a lawsuit asserting a claim under the California Invasion of Privacy Act (“CIPA”).
Plaintiffs alleged…
Ninth Circuit Vacates Class Certification Based on Insufficiently Reliable Damages Model
The Ninth Circuit recently reiterated that plaintiffs seeking class certification cannot show damages are susceptible to common proof by “[m]erely gesturing” at a damages model or “describing a general method” of calculating damages. That reminder comes from Heagney v. John…
Global-Market Price-Fixing Theory in Concrete Admixtures Class Action Rejected Under the FTAIA
In In re Concrete and Cement Additives Antitrust Litigation, the District Court for the Southern District of New York recently dismissed with prejudice claims brought by a proposed class of construction companies and concrete distributors against the world’s largest producers…
N.D. Cal. Rejects Non-Specific Tolling Arguments in Shah v. Politico LLC
In Shah v. Politico LLC, 5:25-cv-05213 (N.D. Cal. Sept. 25, 2026), the Court addressed plaintiffs’ attempts to invoke equitable tolling, delayed discovery, and fraudulent concealment to save untimely claims under the California Invasion of Privacy Act (“CIPA”).
Defendant Politico…
Pixel Tracking Technologies and Article III Standing: Lessons from the Rack Room Shoes Decision
In Smith v. Rack Room Shoes, Inc., No. 24-cv-06709-RFL (N.D. Cal. Sept. 21, 2026), Plaintiffs sought class certification on claims under the California Invasion of Privacy Act, Cal. Penal Code §§ 631 and 632, and the Federal Wiretap Act, 18…
California Governor Signs SB 690, Eliminating Private Website-Based CIPA Pen Register Claims and Calling for Broader CIPA Reform
On September 30, Governor Gavin Newsom signed SB 690, a significant new law aimed at curbing the wave of lawsuits and demand letters asserting “pen register” claims under the California Invasion of Privacy Act (“CIPA”). The legislation eliminates the private…
Ninth Circuit Emphasizes Importance of Connecting Visual Proof to Class Members for Motions to Compel Arbitration
A recent Ninth Circuit decision, Rushing v. Williams-Sonoma, Inc., 2026 WL 2731408 (9th Cir. Sept. 16, 2026), confirms that defendants seeking to compel arbitration based on internet contracts must do more than submit exemplar screenshots of webpages containing arbitration-related disclosures.…
Ohio Federal Court Denies Class Certification in Contract Dispute, Illustrating Strategies For Defeating Similar Claims
The Sixth Circuit’s recent en banc decision in Clippinger v. State Farm Auto. Ins. Co., 173 F.4th 817 (6th Cir. 2026), continues to shape class action litigation involving breach-of-contract claims. In Nichols v. State Farm Mutual Automobile Ins. Co., 2026…