Consumer Law

More Reading for CAFA Crazies: Ninth Circuit Holds That CAFA Does Not Override Anti-Removal Provision of Securities Act of 1933

By Brian Wolfman

In Luther v. Countrywide Home Loans Servicing LP, No. 08-55865 (July 16, 2008), the Ninth Circuit held that the Class Action Fairness Act's broad grant of federal removal jurisdiction over diversity class actions does not override the anti-removal provision of the Securities Act of 1933.  Here's how the court summarized its decision:

Section 22(a) of the Securities Act of 1933 creates concurrent jurisdiction in state and federal courts over claims arising under the Act. It also specifically provides that such claims brought in state court are not subject to removal to federal court. We hold today that the Class Action Fairness Act of 2005, which permits in general the removal to federal court of high-dollar class actions involving diverse parties, does not supersede § 22(a)?s specific bar against removal of cases arising under the ?33 Act.

Full post as published by CL&P Blog on July 20, 2008 (boomark / email).