2:21-cv-00563
W.D. Wash.May 2, 2025Background
- This case concerns antitrust litigation against Valve Corporation, operator of the Steam PC game distribution platform, alleging anticompetitive practices that harm publishers and consumers.
- The litigation is divided into a Publisher Class and a putative Consumer Class; counsel for the Publisher Class was previously appointed.
- The court was required to select interim lead counsel for the Consumer Class out of four applicant groups: Vorys, Elliott Counsel (Hagens Berman & Bucher), Cohen Milstein, and Drake Counsel.
- Valve previously compelled consumer plaintiffs to arbitrate, but after successful challenges by Bucher Law, Valve dropped its arbitration provision, opening the door to renewed class litigation.
- Appointment of interim class counsel follows the standards in Fed. R. Civ. P. 23(g), focusing on counsel's work, experience, legal knowledge, resources, and any conflicts of interest.
- The court's central concern was ensuring undivided loyalty to the Consumer Class, especially in light of conflicting damages allocation interests between publishers and consumers.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Vorys can serve as interim lead for consumers | Vorys argues early filing and experience support appointment | Implicit conflict from Vorys's prior publisher role | No; conflict of interest concerns |
| Whether Elliott Counsel can serve as lead | Emphasizes Bucher's success in arbitration, experience | Valve cites Bucher's divided interests and advertising | No; conflicts and divided loyalty |
| Best appointment for undivided consumer representation | Cohen Milstein has no conflicts, strong antitrust record | Not directly disputed by Valve | Yes; Cohen Milstein appointed |
| Appointment of co-leads to alleviate conflicts | Adding co-counsel can mitigate conflicts | Unresolved structural problems if divided counsel | No; only unconflicted counsel suitable |
Key Cases Cited
- Rodriguez v. West Publishing Corp., 563 F.3d 948 (9th Cir. 2009) (class counsel must avoid divided loyalties in representing class members)
- Radcliffe v. Experian Information Solutions Inc., 715 F.3d 1157 (9th Cir. 2013) (class counsel has fiduciary duty to avoid conflicts of interest)
- In re Mego Financial Corp. Securities Litigation, 213 F.3d 454 (9th Cir. 2000) (conflicts between subclasses over damages allocations may disqualify counsel)