Seventh Circuit Decertifies Class Seeking Injunctive Relief In Insurance Case

Originally published February 18, 2011.

Keywords: Seventh Circuit, injunctive relief, insurance case, federal rule, civil procedure,

The Seventh Circuit Court of Appeals has reiterated that plaintiffs must satisfy a high burden in seeking to certify a class requesting injunctive relief under Federal Rule of Civil Procedure 23(b)(2). The decision in Kartman v. State Farm Mutual Automobile Insurance Co. may provide helpful guidance for businesses opposing certification of a Rule 23(b)(2) class.

The plaintiffs' claims in Kartman stemmed from a hail storm that struck central Indiana in 2006. The plaintiffs, who sought to represent a class of State Farm policyholders, alleged that the insurer used arbitrary and inconsistent methods of assessing the damages to their roofs following the storm, leading to inadequate compensation in violation of state law. The district court rejected the plaintiffs' request to certify a money-damages class under Rule 23(b)(3), but