The Case Against Counterclaim Class Actions

Law360, New York (May 23, 2012, 3:46 PM EDT) -- Should a party that brings a simple lawsuit to collect an unpaid debt or for breach of contract run the risk of having that case transformed into a multimillion-dollar class action against it? That is one of the issues presented when a defendant responds to a lawsuit with a counterclaim that seeks relief on a classwide basis.

A number of state and federal courts have assumed, typically with little substantive analysis, that a class action can properly be pled in a counterclaim. See, e.g., Westwood Apex...
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