Limiting class action damages
The Standard Fire Insurance v. Knowles
In brief
Knowles could not use his under-$5 million promise to keep the proposed class action out of federal court, and the Supreme Court sent the case back to the Eighth Circuit.
- Where it stands
- Decided
Decided 9-0 · March 19, 2013 · Opinion by Justice Breyer
- What it’s about
- The Supreme Court decided that Greg Knowles could not keep his proposed class action out of federal court by stipulating that he and the people he hoped to represent would seek less than $5 million total, because he could not bind them before a court approved the class.
- Who it affects
- Knowles’s promise to cap the proposed class’s damages below $5 million did not prevent a federal court from hearing the case.
Summary: written with AI from the case record.
What it's about
The Court wiped out the lower court’s ruling (vacated it) and sent the case back to that court (remanded it).
The case asked whether one plaintiff could limit the damages claimed for a proposed group to determine which court could hear the class action.
Question presented
Can a plaintiff in a class action case stipulate that the potential damages are less than $5 million, which removes the case from federal jurisdiction?
What the Court decided
Holding
Knowles’ stipulation does not defeat federal jurisdiction under CAFA. Pp. 3 − 7. Vacated and remanded.
- Result
- Vacated
The vote
What's next
The case returns to the Eighth Circuit for further proceedings.
Documents
Opinions
Audio
Docket activity
New analysis added
AI analysis generated: Impact Analysis
AI analysis generated: Opinion Summary
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AI analysis generated: Case Briefing
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AI analysis generated: Decision Record
Case data updated: summary, question_presented, generation_metadata
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Audio Recording added: Oral Arguments - Knowles
Opinion added: Knowles
More questions
- Did the Supreme Court decide the final outcome of the lawsuit?
- No. It decided only that Knowles’s promise did not defeat federal jurisdiction and sent the case back to the Eighth Circuit.
Sources
Primary materials plus reporting. Best-effort analysis: this explainer relies on a mix of primary materials and trusted secondary sources. Official filings and opinions remain authoritative.