Tuesday, November 3, 2009
As previewed earlier here, Shady Grove Orthopedic Assocs. v. Allstate Ins. Co. considers whether New York's bar on class actions for certain statutory-damages claims (N.Y. C.P.L.R. 901(b)) precludes class certification in a federal court diversity action. Among the relevant issues are whether the Erie doctrine requires federal courts to follow state class action law, and whether allowing FRCP 23 to displace New York law on the availability of a class action would run afoul of the Rules Enabling Act's command that the FRCPs "shall not abridge, enlarge or modify any substantive right." (28 U.S.C. 2072(b))
The transcript from yesterday's oral argument is available here.