Mondaq Business Briefing

Eighth Circuit Joins Minority in Circuit Split as to Ascertainability Standard for Class Actions

On May 3, the United States Court of Appeals for the Eighth Circuit reversed a lower court's rejection of class certification in Sandusky Wellness Ctr., LLC v. Medtox Scientific, Inc., a case brought under the Telephone Consumer Protection Act ("TCPA") relating to junk faxes sent by a lead testing company. In its opinion, the Court defined the ascertainability standard for the Eighth Circuit, aligning it with the minority of courts that require a less rigorous analysis.

Along with the Consumer Financial Protection Bureau's continued efforts to eliminate class action waivers in arbitration agreements, this decision reflects a legal trend favoring class actions and hence increased litigation risk for companies. …

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