SCOTUS: American Pipe Tolling Does Not Apply To Successive Class Actions

The Supreme Court held unanimously on June 11 that American Pipe tolling does not apply to successive class actions brought outside the statute of limitations. The case, China Agritech v. Resh,¹ resolves a circuit split over this issue.

In American Pipe & Construction Company v. Utah,² the Court held that a class action filing tolls the applicable statute of limitations for putative class members. Prior to the China Agritech decision, courts agreed that American Pipe’s tolling rule at least allowed putative class members to pursue their individual claims if class certification was denied after the statute of limitations expired. Yet courts disagreed on whether American Pipe also permitted a putative class member to file a new class action outside the statute of limitations.