Local Controversy Exception

We recently posted about a trend of plaintiffs trying to keep certain class actions, including wiretap cases, in California state court and highlighted potential avenues for removal to federal court. Another federal court has weighed in, declining to remand because the plaintiff did not establish that CAFA’s mandatory local controversy exception applied. Miramalek v. Los Angeles Times Communications LLC, 2024 WL 2479940 (N.D. Cal. May 23, 2024). This recent case offers another potential ground for opposing a motion to remand, though it also underscores the attendant risk of jurisdictional discovery.Continue Reading N.D. Cal. Court Declines Remand of California-Focused Wiretap Class Action

Plaintiffs appear to be increasingly focused on keeping certain types of class actions, including cases brought under the California Invasion of Privacy Act (CIPA), in California state court, likely seeking to take advantage of less rigorous pleading and class certification requirements.  Some plaintiffs are even bringing individual claims and affirmatively alleging that less than $75,000 is at stake to avoid removal under CAFA or diversity jurisdiction, while purporting to reserve the right to add class allegations at a later stage.  See, e.g., Casillas v. Hanesbrands Inc., 2024 WL 1286188 (C.D. Cal. Mar. 22, 2024) (remanding individual CIPA claim to state court). 

A recent decision in the Central District of California, Doe v. PHE, Inc., 2024 WL 1639149 (C.D. Cal. Apr. 15, 2024), should help defendants seeking to remove putative class actions to federal court under CAFA.Continue Reading A Closer Look: Recent C.D. Cal. Decision Strengthens Defendants’ Arguments for CAFA Removal