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U.S. Supreme Court Prevents Successive Class Actions Filed Out of Time by Limiting the Application of American Pipe & Constr. Co. v. Utah

In its opinion in China Agritech v. Resh, released today, the United States Supreme Court limited its prior tolling holding in American Pipe & Constr. Co. v. Utah, 414 U.S. 538 (1974).  According to the syllabus, the Court held that “Upon denial of class certification, a putative class member may not, in lieu of promptly joining an existing suit or promptly filing an individual action, commence a class action anew beyond the time allowed by the applicable statute of limitations.” Syllabus, China Agritech v. Resh, 584 U.S. __ (2018).  The Supreme Court said: “*** [I]t is the rule we adopt today: Time to file a class action falls outside the bounds of American Pipe.” 584 U.S. ___ (p. 15 in opinion link below).  The Court’s latest opinion prevents successive class actions filed out of time in reliance on its American Pipe opinion that tolled the limitations period during certain circumstances and periods.

For more information, click here for the full opinion.

To learn more about this post or any other litigation matter, feel free to contact me at sakarg@nmmlaw.com.