claim/issue preclusion

Question 1

when does issue preclusion apply?

(collateral estoppel)

Answer 1

1. there was a final judgment
2. the issue must have been actually litigated and determined
3. the issue must have been essential to the judgment, AND
4. the party to be bound by the prior judgment must have been a party to the prior action or in privity with a party to the prior action

Question 2

when does claim preclusion apply?

(res judicata)

Answer 2

when three things are true:
1. same claimant and same defendant
2. there was a valid final judgment on the merits in case 1
3. case 1 and case 2 involve “same claim”

claim under majority/federal view –> involves right to relief arising out of T/O
claim under minority/primary rights doctrine –> how many different rights were invaded

Question 3

with claim preclusion, when plaintiff/claimant won the earlier lawsuit, the claim is…

Answer 3

merged into the prior judgment

Question 4

with claim preclusion, when the defendant won the earlier lawsuit, the claim is…

Answer 4

barred by the prior judgment

Question 5

dismissal & claim preclusion

Answer 5

a plaintiff may of right dismiss an action one time for any reason without prejudice before the defendant serves its answer

a voluntary dismissal is NOT an adjudication on the merits

Question 6

nonmutual issue preclusion

Answer 6

when someone who was not a party (or in privity) to case 1 tries to use issue preclusion in case 2

Question 7

when can a nonparty (to case 1) use a previous judgment offensively?

Answer 7

when the court determines that it would be fair and equitable to allow party to do so

this is nonmutual offensive issue preclusion