Tuesday, June 21, 2011

Wal-Mart Case Is a Blow for Big Cases and Their Lawyers

The New York Times reports:
With the dismissal of a sex-discrimination lawsuit brought on behalf of 1.5 million women who have worked at Wal-Mart, the Supreme Court on Monday significantly tightened the rules for how a large group of individuals can join together to sue a company for alleged harm done to them.

The court’s decision will not just make it harder to bring big, ambitious employment class-action cases asserting discrimination based on sex, race or other factors, legal experts said. In the majority opinion, the court set higher barriers for bringing several types of nationwide class actions against a large company with many branches.

In its majority opinion, the court essentially said that if lawyers brought a nationwide class action against an employer, they would have to offer strong evidence of a nationwide practice or policy that hurt the class.
Time for loser pays legal fees?