MDL No. 1917 In Re: Cathode Ray Tube (CRT) Antitrust Litigation
4:07-cv-05944
N.D. Cal.Apr 9, 2020Background:
- The JPML centralized CRT price-fixing cases in 2008 into MDL No. 1917.
- In July 2016 the district court granted final approval of settlements between the Indirect Purchaser Plaintiffs (IPPs) and several defendants; objections and appeals followed.
- The court later concluded it erred in approving a settlement provision that released claims of class members in certain "omitted repealer" states without compensation and the Ninth Circuit remanded for reconsideration.
- On remand the court confirmed lead IPP counsel, appointed separate counsel for the ORS and NRS subclasses, and referred settlement efforts to a magistrate judge.
- In 2019 Eleanor Lewis (an NRS member) and members of the ORS subclass sought to intervene and to amend pleadings; the court denied renewed intervention motions and directed them to file in the proper fora or seek JPML transfer.
- Movants filed Rule 59(e) motions to alter or amend the denial; the court denied those motions for failing to show clear error, newly discovered evidence, manifest injustice, or change in controlling law.
Issues:
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether reconsideration under Rule 59(e) is warranted for alleged clear error about MDL statute barring direct intervention | Lewis/ORS say the court erred in concluding MDL statute prevents direct intervention or amendment to add named plaintiffs | Defendants say Movants rehash arguments, raise new claims untimely, and MDL procedures limit adding plaintiffs who never filed or were transferred | Denied; Rule 59(e) relief not shown — Movants rehashed or belatedly raised arguments and gave no basis for altering the order |
| Whether Rule 23 allows district court to create subclasses and appoint new representatives within MDL to cure conflicts | Movants contend Rule 23 subclass protections survive in MDL proceedings and the court should appoint adequate representatives | Opponents contend Movants could have raised this earlier and cannot use reconsideration to present new theories | Denied; argument was raised belatedly and cannot be shoehorned into Rule 59(e) to obtain rehearing |
| Whether MDL procedures permit adding named plaintiffs who never filed suit in federal court or had not been transferred by JPML | Movants argue they seek to intervene as named plaintiffs tethered to pending actions rather than start new suits | Defendants rely on MDL jurisprudence that transferee court jurisdiction is not invoked for plaintiffs who never filed or were not transferred | Denied; court follows MDL precedent that plaintiffs must have proper filing/transfer to be added in the MDL |
| Whether prior stipulation-based amendments in this MDL create inconsistency or preclude the court’s MDL procedural analysis | Movants point to earlier, unopposed stipulated amendments that added named plaintiffs | Defendants note those were unopposed stipulations that did not require the court to address MDL consolidation procedures | Denied; prior unopposed stipulated amendments do not establish clear error or change the court’s application of MDL rules |
Key Cases Cited
- In re Cathode Ray Tube (CRT) Antitrust Litig., 536 F. Supp. 2d 1364 (J.P.M.L. 2008) (JPML centralization order for CRT cases)
- Carroll v. Nakatani, 342 F.3d 934 (9th Cir. 2003) (Rule 59(e) is an extraordinary remedy used sparingly)
- Rishor v. Ferguson, 822 F.3d 482 (9th Cir. 2016) (grounds for reconsideration enumerated)
- Kona Enters., Inc. v. Estate of Bishop, 229 F.3d 877 (9th Cir. 2000) (Rule 59(e) cannot be used to raise arguments that could have been presented earlier)
- Teamsters Local 617 Pension & Welfare Funds v. Apollo Group, Inc., 282 F.R.D. 216 (D. Ariz. 2012) (describing exacting standard for clear error)
- United States v. Westlands Water Dist., 134 F. Supp. 2d 1111 (E.D. Cal. 2001) (reconsideration may not rehash prior arguments)
- Young v. Peery, 163 F. Supp. 3d 751 (N.D. Cal. 2015) (motions for reconsideration must do more than recapitulate previously considered cases)
