Unrivaled 2025: Michael Nemelka and Derek Ho of Kellogg Hansen

You were class counsel in a $630 million class action settlement in January 2025 in Loop LLC vs. CDK Global LLC in a Wisconsin federal court. Tech vendor Loop and the class alleged that CDK and a rival, The Reynolds & Reynolds Co., colluded to reduce competition and increase fees to access data from their car dealership data management systems. Can you tell us about your strategy in this case?

Answers submitted by Mike Nemelka: Because ours was an antitrust conspiracy case, our trial strategy focused on letting the collusive evidence do the talking. The evidence was quite extraordinary— the two companies exchanged emails and wrote presentations talking about working together to destroy the competition so they could raise prices on data access. Among many examples, defendants said the smaller competitors providing data access posed serious security threats, and yet both CDK and Reynolds used those smaller companies for years.

Can you describe a major hurdle that happened during the case? How did you overcome it?

The biggest hurdle was the scope, size, and duration of the case. To some extent, it was an endurance test. We filed this in 2018, and over the ensuing seven years, we took and defended over 100 depositions; reviewed an ungodly number of documents; defeated summary judgment and every Daubert challenge to our economic and damages expert; got our class certified; and then spent months preparing for trial.

Throughout that process, CDK was represented by very good lawyers, first at Mayer Brown and then Kirkland & Ellis. They did not make our job easy, but they were always professional, and I think we both earned the respect of each other. They even had a nickname for the case – “Nemelkapalooza” – a reference to all the billing work we created for them in the case. That made us chuckle.

When did you first know you wanted to be a trial lawyer? What clicked for you?

I actually joined Kellogg Hansen to be an appellate lawyer—we have some of the best appellate lawyers in the country here (Michael Kellogg and David Frederick, among others). My year clerking for Judge Paul Niemeyer on the Fourth Circuit was pure joy, and watching the lawyers argue before my judge, I thought, “that’s what I want to do.” And then, what do you know, in my first five years at the firm, I had the opportunity to work on five trials that went to verdict. I was hooked. There is nothing like working together with a dedicated trial team– it’s like a platoon in battle where we are all in the foxhole together. I love it.

What are the major keys to winning over a jury or a judge?

Number one is credibility. The facts are what they are, don’t overplay them. The jury can smell a “stretched fact” a mile away. Instead, integrate all relevant facts into your theory of the case and why you should win. Bad facts are my best friends. Same with the law—be helpful to the court; don’t use cases improperly. The jury and judge generally get credibility judgments right. Whoever is the most credible wins. Protect yours at all costs.

What is the best advice you give young trial lawyers?

Nemelka: “The best way to learn is to watch the best in the business. Fortunately, they work right down the hall from me. Go to as many trials as possible; soak it all in. Colleagues are your best source for education.”