Justices Restore Class Action Fairness Act's Removal Power

Law360, New York (March 19, 2013, 1:00 PM EDT) -- The U.S. Supreme Court unanimously ruled on Tuesday that plaintiffs bringing class actions cannot escape federal jurisdiction by promising to seek less than $5 million in damages, siding with Standard Fire Insurance Co. in a closely watched case testing an important threshold set by the Class Action Fairness Act.

The high court held that plaintiff Greg Knowles had no power to speak for the proposed class when he stipulated in a lawsuit against Standard Fire that he and the class would not ask for more than...
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