Resolving Circuit Split, Supreme Court Rules That Successive Class Actions Are Not Tolled Under American Pipe

On 11 June 2018, the U.S. Supreme Court held in China Agritech, Inc. v. Resh that the tolling rule first stated in American Pipe & Construction Co. v. Utah cannot salvage otherwise untimely successive class claims.

In American Pipe, the U.S. Supreme Court had held that the timely filing of a class action tolls (suspends) the limitations period for all persons covered by the class complaint. The issue in China Agritech was whether American Pipe tolling can salvage an untimely successive class claim – in other words, a claim filed on behalf of a putative class after the expiration of the limitations period, but before the time when the limitations period would expire if the court were to exclude time during which a previous proposed class action was pending. The Sixth Circuit (which hears appeals from Kentucky, Michigan, Ohio and Tennessee) and the Ninth Circuit (which hears appeals from Alaska, Arizona, California, Hawaii, Idaho, Montana, Nevada, Oregon, Washington,