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The Curious Complications With Back-End Opt-Out Rights, Rhonda Wasserman
The Curious Complications With Back-End Opt-Out Rights, Rhonda Wasserman
William & Mary Law Review
In recent years, class members have been afforded delayed, or "back-end," opportunities to opt out of a class action once the terms of the settlement are disclosed. These back-end opt-out rights may afford only limited rights to sue outside the confines of the class action. For example, opt-out plaintiffs may be permitted to seek compensatory, but not punitive damages. Does the federal court that approved the settlement have authority to enjoin back-end opt-out plaintiffs from seeking relief in state court that exceeds the limits built into the back-end opt-out right?
Three sets of curious complications may arise if the federal …
Erie, The Class Action Fairness Act, And Some Federalism Implications Of Diversity Jurisdiction, David Marcus
Erie, The Class Action Fairness Act, And Some Federalism Implications Of Diversity Jurisdiction, David Marcus
William & Mary Law Review
The Class Action Fairness Act of 2005 (CAFA) expands diversity jurisdiction to allow most significant class actions based on state law to proceed in federal court. Hoping to limit the application of state law through class actions, CAFA's supporters believe that federal judges harbor a collective animosity toward the large, multistate class actions the statute targets. CAFA has no substantive component, and it does not tighten Rule 23's certification requirements. Nonetheless, if supporters are right about judicial preferences and their likely impact on certification decisions, CAFA will weaken the regulatory reach of state law.
Arguments about diversity jurisdiction and judicial …