Can Plaintiffs Aggregate Their Claims Against Multiple Defendants To Reach CAFA's Amount In Controversy Requirement?
CAFA now provides that "[i]n any class action, the claims of the individual class members shall be aggregated to determine whether the matter in controversy exceeds the sum or value of $5,000,000, exclusive of interest and costs." 28 U.S.C. § 1332(d)(6).
CAFA clearly increased the amount in controversy to $5 million, and also allows the plaintiffs to aggregate their claims to meet this amount, but does it also allow the plaintiff class to aggregate their claims against multiple defendants to reach the jurisdictional amount? One court has determined that it does. Kearns v. Ford Motor Co., No. CV-05-5644 GAF (JTLX), 2005 WL 3967998 *5-*6 (C.D. Cal. Nov. 21, 2005).
In Kearns, the Central District of California reasoned that "[i]f this rule against aggregation still applied to class action suits, in which the individual claims are often quite small, it would effectively nullify CAFA's attempt to expand jurisdiction." The court relied exclusively on CAFA’s legislative history in reaching this conclusion, but noted that the legislative history "does not address this question directly." In the Eleventh Circuit, this question remains unanswered. However, in the absence of any explicit guidance from Congress on the issue, the Eleventh Circuit may be hesitant to overturn the long-standing rule prohibiting plaintiffs from aggregating their claims against multiple defendants. Further, the Eleventh Circuit recently stated that CAFA did not change the rule that the party seeking removal has the burden of proof survives because the statute didn't expressly change the burden. See Evans v. Walter Industries, 449 F.3d 1159 (11th Cir. 2006).