Joinder

Question 1

“SMJ required”

Answer 1

Must assess whether claim invokes diversity or federal question SMJ
-If neither applies, try to invoke supplemental jurisdiction
-Remember supplemental jurisdiction plaintiff-diversity limitation

Question 2

Joinder

Answer 2

Joinder rules define the scope of the case:
1. How many parties can be joined in the case?
2. How many claims can be joined in the case?
-Each claim must be allowed under FRCP
-Each claim must have SMJ

Question 3

Claim joinder by Plaintiff

Answer 3

Under FRCP, a single plaintiff asserting a claim may join any additional claim he has against that adverse party, even if its unrelated to the original claim
-But each claim must have SMJ (usually this issue)

Question 4

Joinder by multiple plaintiffs or defendants

Answer 4

Claims by multiple plaintiffs or against multiple defendants must:
(1) arise from the same transaction or occurence; and
(2) raise at least one common question of fact or law

Question 5

Absentee party

Answer 5

A non-party to a case

Question 6

Necessary and indispensable parties

Answer 6

For an absentee party to join a case, ask:
1. Is the absentee necessary (required)?
2. If so, can the absentee be joined?
3. If not, can the case proceed anyways?

Question 7

Necessary absentee

Answer 7

An absentee is a necessary party when:
1. The absentee’s interest may be harmed if she is not joined;
-Most likely
2. The court cannot provide complete relief without it; or
3. It claims an interest that subject a party to multiple obligations
-Usually the defendant

*Joint tortfeasors are never necessary

Question 8

Absentee joinder

Answer 8

Joinder is feasible for the absentee when:
1. The court has PJ over the absentee; and
2. The court has federal SMJ over the claim by or against the absentee

*If joinder is feasible, then the absentee is joined to the case

Question 9

Indispensable absentee

Answer 9

Court must consider whether to proceed without the absentee or dismiss the case by using the below factors:
-Presence of alternative forum
-Likelihood of harm
-Court’s ability to provide relief to avoid that harm

If court dismisses the case, the absentee is an “indispensable party”

*Bar exam rarely tests indispensable factors

Question 10

Claim joinder by Defendant

Answer 10

A counterclaim is a claim against an opposing party (usually D against P)
-Once a defendant serves a counterclaim in its answer, the plaintiff must respond under Rule 12 within 21 days of service

Two types of counterclaims:
-Compulsory counterclaim
-Permissive counterclaim

Question 11

Compulsory counterclaim

Answer 11

A counterclaim that arises from the same transaction or occurrence as the plaintiff’s claim
-Must file in the pending case or the claim is waived (use it or lose it)
-Must have SMJ or supplemental jurisdiction

Question 12

Permissive counterclaim

Answer 12

A counterclaim that does NOT arise from the same transaction or occurrence as the plaintiff’s claim
-Not required to file it in the case (can bring claim in separate suit)
-Must have SMJ

Question 13

Crossclaim

Answer 13

A claim against a co-party arising from the same transaction or occurrence
-Permissive! (can bring claim in separate suit)
-Must have SMJ

Question 14

Impleader (third-party claim)

Answer 14

When a defendant brings in a third party through an impleader claim to shift liability to the third-party defendant
-Defendant becomes third-party plaintiff (TPP)
-Third party becomes third-party defendant (TPD)
-Permissive

*Look for indemnity or contribution
-Indemnity shifts liability completely to the TPD
-Contribution makes the TPD cover a pro-rata share of the claim

Question 15

Impleader process

Answer 15

The defendant must:
1. File a third-party complaint naming the TPD
2. Formally serve the complaint on the TPD
-Creates right to implead within 14 days of serving the answer, unless good cause

Once the TPD is impleaded, it and P may assert claims against each other
-SMJ required

Question 16

Intervention

Answer 16

A nonparty absentee uses a timely intervention to bring herself into a case as a plaintiff or defendant
-Intervention as a right if her interest may be harmed if not joined (same test as necessary absentee)
-Permissive intervention is within the court’s discretion
-SMJ required

Question 17

Interpleader

Answer 17

RARELY TESTED

Applies if separate actions might result in double liability against a stakeholder
-Interpleader makes claimants litigate to determine who has the valid claim

Question 18

Class action lawsuits

Answer 18

A case in which representative(s) sue on behalf of a group

Four requirements:
1. Too many class members for a practical joinder
2. All members have some common issue
3. Class representative’s claim(s) are typical for the class; and
-Can invoke diversity if class rep’s claim meets the requirements
4. Class representative will fairly and adequately represent the class

Question 19

Three types of class action lawsuits

Answer 19

1. Prejudice
   -Class treatment is necessary to avoid harm to either party
   -No notice requirement
   -Rare
2. Injunctive or declaratory relief
   -Class seeks an injunction or a declaratory judgment because the defendant treated the class members alike
   -No notice requirement
3. Common question or damages (mass torts)
   -Common questions predominate or individual questions; and
   -Class action is a superior method to handle dispute
   -Class representative must notify all individual members (by mail paid for by the rep) that they can opt out, will be bound by judgment, and can enter a separate appearance
   -Most common on exam

Question 20

Court certification of class action

Answer 20

A case is not a class action until the court:
1. Certifies it as a class action;
2. Defines the class and the class claims, issues, or defenses; and
3. Appoints class counsel, who fairly and adequately represents interests

Question 21

Settlement of class action

Answer 21

Need court approval to settle or dismiss a certified class action
-For mass torts class actions, the court may refuse to approve unless the members are given a second chance to opt out

Question 22

Class Action Fairness Act (CAFA)

Answer 22

Grants non-DJ/FQ SMJ for a class action if:
-At least 100 members
-Any class member is of diverse citizenship of any defendant; and
-Aggregated claims exceed $5M