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Civil Procedure Keyed to Yeazell
Standard Fire Ins. Co. v. Knowles
Citation:
568 U.S. 588 (2013)Facts
Plaintiff filed a proposed class action lawsuit against Defendant in an Arkansas state court, alleging that the insurance company failed to compensate homeowners for a general contractor fee when claims were paid. He sought to certify a class of hundreds and possibly thousands of similarly harmed Arkansas policyholders. The lawsuit stated that Plaintiff and the class sought to recover damages of no more than $5 million. Plaintiff also attached an affidavit to the complaint that again stipulated that they would not seek damages for the class in excess of $5 million, in the aggregate. Defendant removed the lawsuit to federal court based on the Class Action Fairness Act (CAFA). The trial court determined that the claim would likely exceed $5 million but accepted the stipulations of Plaintiff regarding the amount of damages that would be sought. The trial court remanded the case back to state court. Defendant appealed the remand order to the United States Court of Appeals for the Eighth Circuit, which declined to hear the appeal. Defendant then sought review by the United States Supreme Court.
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