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Ninth Circuit Seals Class Action Loophole

Posted By Administration, Thursday, April 14, 2016

Earlier this year the U.S. Supreme Court handed a rare win to the plaintiffs bar, ruling that defendants can't kill a class action simply by offering to pay named plaintiffs in full.

But there was a possible loophole in Campbell-Ewald v. Gomez, and it didn't take long for a defendant to try and walk through.

On Tuesday, the U.S. Court of Appeals for the Ninth Circuit deflected Allstate Insurance Co.'s attempt to short-circuit a class action by going a step beyond a settlement offer and actually depositing $20,000 in an escrow fund for the lead plaintiff.

Read the whole story at The Recorder

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