The U.S. Supreme Court agreed on August 31 to review a case in which Travelers’ Standard Fire Insurance is accused of “failing to fully reimburse losses.” An Arkansas judge ruled that Travelers could not move the case to federal court because the plaintiffs stated that they were seeking damages of less than $5 million.
According to Bloomberg Businessweek, the United States Chamber of Commerce is challenging an existing practice used by attorneys for plaintiffs in a class action lawsuit. Currently, class action suits that seek damages of more than $5 million are heard in federal court, where they are more likely to be ruled in the defendants’ favor. By agreeing not to pursue awards of more than $5 million, plaintiffs’ lawyers have a better chance of having their cases heard in a state courtroom, where they and the class representatives tend to reap the bulk of any award. Also, defendants lose the procedural protections they would receive in federal court.
If you have been considering taking legal action against a company for a defective product or harm that was done to you, and you suspect that you are not the only victim, contact the Louisville class action litigation attorneys at Gray and White Law. Call us at 502-210-8942 or toll free at 888-450-4456 and set up a FREE, no-obligation consultation. We’ll look into the possibility of an existing class action lawsuit in Kentucky or discuss the grounds for beginning one.