Stamps.com Inc. may keep a consumer suit over allegedly deceptive subscription charges in federal court, the Tenth Circuit ruled Dec. 20 (Hammond v. Stamps.com Inc., 2016 BL 422266, 10th Cir., No. 16-2243, 12/20/16).
The district court misunderstood the Class Action Fairness Act’s requirement that a suit’s “amount in controversy” must exceed $5 million, Judge Neil M. Gorsuch wrote for the U.S. Court of Appeals for the Tenth Circuit.
The correct question “isn’t what damages the plaintiff will likely prove but what a factfinder might conceivably lawfully award,” the court said.
Defendants prefer to litigate in federal ...
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