By: Kate Spelman
This post is intended to give readers a basic understanding of the Class Action Fairness Act of 2005 (“CAFA”). This post is not intended to be a comprehensive review or recitation of the law.
Many litigators perceive state courts as more plaintiff-friendly than their federal counterparts. As such, plaintiffs often prefer litigating class action lawsuits in state court, while defendants prefer removing these suits to federal court.
However, federal courts have limited subject matter jurisdiction, as they can generally hear only two types of cases: (1) cases involving federal law (“federal question jurisdiction”), and (2) cases involving parties from different states where the amount in controversy exceeds