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March 26, 2013

CAFA Ruling Reaction: Motley Rice attorney interviewed about high-profile Supreme Court decision

On March 19, 2013, the U.S. Supreme Court issued its first-ever decision interpreting the 2005 Class Action Fairness Act (CAFA), unanimously ruling that courts should disregard written promises by plaintiffs who are trying to represent a class in state court.

Law360 interviewed Motley Rice attorney Vince Parrett about the ruling that has been widely touted by the defense bar. “It certainly doesn't limit or bar class actions going forward. It simply means that many if not most of them will be in federal court . . . This decision does not say that plaintiffs cannot bring class actions. It simply says that if plaintiffs have multimillion dollar damages, then their class action must be brought in federal court,” said Parrett. “That's not a game-changing win for defendants who caused and can and will be liable for multimillion dollar damages — albeit in federal court.”

The case is Standard Fire Insurance Co. v. Knowles. Law360 subscribers may access the full article here.