Judges to Look More Closely at Class Settlements

Class Action
– Daily Journal

The Daily Journal quoted Manatt’s Brad Seiling, chair of the firm’s class actions practice, for an article about the future of the U.S. Supreme Court following the 2016 presidential election and the impact it could have on class action cases.

When asked whether the presidential election might lead to reforms of the arbitration process, especially in light of Secretary Clinton’s pledge to expand on the Consumer Financial Protection Bureau’s rule aimed at curbing the use of mandatory arbitration clauses in company contracts signed by customers, Seiling replied:

“I do think judges are looking more closely at class settlements, and there are more professional objectors out there than before. To me, both sides need to follow a simple rule: don’t get greedy. There are things that defendants do that raise red flags for a judge or an objector—for example, not giving notice in order to try to fly below the radar. Or seeking broad release to wrap up similar but non-identical lawsuits in one package on the cheap.”

Read the article here