It Settled—Now What? Ninth Circuit Limits Settling Plaintiffs' Ability To Appeal Orders Denying Class Certification

Key Points

• The 9th Circuit has held that settlement of a plaintiff's individual claims moots the appeal of an order denying class certification, unless the settlement agreement specifically preserves the plaintiff's personal stake in the outcome on appeal.
• The decision makes it clear that if plaintiffs wish to appeal the denial of class certification after settling their individual claims, they must retain a concrete, financial stake in the outcome of the putative class claims.
• The decision underscores the importance to defendants of challenging a named plaintiff's individual claims throughout the case, including through trial, rather than settling on terms that authorize the plaintiff to appeal the denial of class certification.