Class Action Reform Bill
Monday, July 10th, 2000 LitigationThe U.S. Senate Judiciary Committee has approved industry-backed legislation that would make it easier for defendants in class-action lawsuits to have their cases heard in federal rather than state courts. The committee approved S. 353, the Class Action Fairness Act, by an 11-7 margin. The legislation next goes to the floor of the Senate. Similar legislation, H.R. 1875, was passed by the House of Representatives on Sept. 23, 1999, by a 222-207 vote. If the Senate passes S. 353, both bills will go to a Conference Committee that will work out any differences and produce a final bill. Under S. 353, federal district courts would have jurisdiction to hear class-action lawsuits where the amount in controversy exceeds $75,000 and where the defendants are, by and large, from a different state than the plaintiffs.
