James A. Byrne U.S. Courthouse, which houses the U.S. Court of Appeals for the Third Circuit, and the U.S. District Court for the Eastern District of Pennsylvania, in downtown Philadelphia, on April 3, 2021. Credit: Diego M. Radzinschi/ALM
The U.S. Court of Appeals for the Third Circuit, affirming a lower court’s remand to state court, held that a suit filed by a group of plaintiffs against an indemnity company wasn’t a class action despite the fact that a nearly identical class action had previously been filed—and voluntarily dismissed—by some of the same plaintiffs.
Third Circuit Judge D. Brooks Smith, writing for a unanimous three-judge panel, determined that Erie Insurance Exchange’s suit against Erie Indemnity Co. wasn’t a class action as defined by the Class Action Fairness Act of 2005 (CAFA), and thus, should be remanded to state court instead of federal court.
