CAFA grants federal jurisdiction over class actions with at least 100 members, minimal diversity between any class member and any defendant, and more than $5 million in aggregate controversy.
It contains exceptions requiring or permitting remand for local controversies and home state classes where defined percentages of members are citizens of the forum state.
Alternative Names:
CAFA, Class Action Fairness Act of 2005
Why it Matters?
CAFA is the primary mechanism for moving class litigation out of plaintiff-favorable state courts, and removal analysis should occur immediately given the thirty-day window. The exceptions are where the litigation happens, since establishing the citizenship percentages required for the local controversy or home state exceptions is an evidentiary exercise that both sides contest. CAFA also removed the requirement that all defendants consent to removal.
Frequently Confused with
Related terms
Frequently asked questions
What are CAFA's jurisdictional thresholds?
Do the forum defendant rule and one-year limit apply?
