A magistrate judge found that when a defendant meets its burden to plausibly show that the amount in controversy exceeds the $5 million jurisdictional threshold under CAFA, the plaintiff must then show to a legal certainty that if the plaintiff prevails in the action, it was impossible to recover $5 million.
The Supreme Court, in Wal-Mart Stores, Inc. v. Dukes, 131 S. Ct. 2541 (2011), set a high standard for class certification under Federal Rule of Civil Procedure 23 (“Rule 23”). Under Rule 23(a), the party seeking certification must demonstrate that:
In this action, a District Court declined to remand the action to state court finding that the defendants had satisfied their burden of proof by showing a reasonable chain of logic based on the allegations of the complaint and sufficient evidence to establish that the amount in controversy exceeded $5 million.
The U.S. Supreme Court recently granted certiorari in class action cases involving: (1) class action waivers in employment contracts; and (2) whether filing of a securities class action tolled a statute of repose.
In an action brought by clients against their former attorneys, the district court found that, in determining the amount in controversy in a mass action, the punitive damages claims of the putative class cannot be aggregated