In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation
United States Court of Appeals, Ninth Circuit
January 22, 2019
In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta; Mark Rovner; Wolfgang Steudel; Anne Mahle; DavidMcCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Bishop, Heenan & Davies, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG; Audi of America, LLC; Porsche Cars North America, Inc.;Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta; Mark Rovner; Wolfgang Steudel; Anne Mahle; DavidMcCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Law Office of Maloney & Campolo, LLP, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG; Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees .In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta; Mark Rovner; WolfgangSteudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, James Ben Feinman; Ronald Clark Fleshman, Jr., Objectors-Appellants,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG;Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta;Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Lemberg Law, LLC, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG;Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta;Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Nagel Rice, LLP, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG;Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta;Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Strong Law Offices, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG;Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta;Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Hyde & Swigart, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG;Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta;Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, The Driscoll Firm, P.C., Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG;Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta;Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Viles and Beckman, LLC, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG;Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta;Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Holton Law Firm, PLLC, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG;Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta;Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Makarem & Associates, APLC, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG;Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans; Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta;Mark Rovner; Wolfgang Steudel; Anne Mahle; David Mccarthy; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Law Office of Samuel W. Bearman, LLC; Sellers Skievaski Kuder LLP; Artice McGraw, PA, Objectors-Appellants,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG; Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans;Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta; Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Harrell & Nowak, LLC, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG; Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans;Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta; Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Egolf Ferlic Harwood, LLC, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG; Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans;Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta; Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Ryder Law Firm, P.C., Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG; Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans;Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta; Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Scott Moen; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Paul S. Rothstein, Objector-Appellant,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG; Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees. In re Volkswagen "Clean Diesel" Marketing, Sales Practices, and Products Liability Litigation, Jason Hill; Ray Preciado; Susan Tarrence; Steven R. Thornton; Anne Duncan Argento; Simon W. Beaven; Juliet Brodie; Sarah Burt; Aimee Epstein; George Farquar; Mark Houle; Rebecca Kaplan; Helen Koisk-Westly; Raymond Krein; Stephen Verner; Leo Winternitz; Marcus Alexander Doege; Leslie Maclise-Kane; Timothy Watson; Farrah P. Bell; Jerry Lawhon; Michael R. Cruise; John C. Dufurrena; Scott Bahr; Karl Fry; Cesar Olmos; Britney Lynne Schnathorst; Carla Berg; Aaron Joy; Eric Davidson White; Floyd Beck Warren; Thomas J. Buchberger; Russell Evans;Carmel Rubin; Daniel Sullivan; Matthew Cure; Denise de Fiesta; Mark Rovner; Wolfgang Steudel; Anne Mahle; David McCarthy; Ryan Joseph Schuette; Megan Walawender; Joseph Morrey; Michael Lorenz; Nancy L. Stirek; Rebecca Perlmutter; Addison Minott; Richard Grogan; Alan Bandics; Melani Buchanan Farmer; Kevin Bedard; Elizabeth Bedard; Cynthia R. Kirtland; Michael Charles Krimmelbein; Will Harlan; Heather Greenfield; Thomas W. Ayala; Herbert Yussim; Nicholas Bond; Brian J. Bialecki; Katherine Mehls; Whitney Powers; Roy McNeal; Brett Alters; Kelly R. King; Rachel Otto; William Andrew Wilson; David Ebenstein; Mark Schumacher; Chad Dial; Joseph Herr; Kurt Mallery; Marion B. Moore; Laura Swenson; Brian Nicholas Mills, Plaintiffs-Appellees, Hawks Quindel, S.C.; Habush Habush & Rottier, S.C., Objectors-Appellants,
v.
Volkswagen Group of America, Inc.; Volkswagen, AG; Audi, AG; Audi of America, LLC; Porsche Cars North America, Inc.; Robert Bosch GMBH; Robert Bosch, LLC, Defendants-Appellees.
Argued
and Submitted December 19, 2018
Appeal
from the United States District Court for the Northern
District of California Charles R. Breyer, District Judge,
Presiding
Bruce
H. Nagel (argued) and Diane E. Sammons, Nagel Rice, LLP,
Roseland, New Jersey; James B. Feinman (argued), James B.
Feinman & Associates, Lynchburg, California; Sara
Khosroabadi and Joshua B. Swigart, Hyde & Swigart, San
Diego, California; for Objectors-Appellants.
Samuel
Issacharoff (argued), New York, New York; Kevin R. Budner,
David S. Stellings, and Elizabeth J. Cabraser, Lieff Cabraser
Heimann & Bernstein LLP, San Francisco, California; Robin
L. Greenwald, Weitz & Luxenberg P.C., New York, New York;
Christopher A. Seeger, Seeger Weiss LLP, New York, New York;
Paul J. Geller, Robbins Geller Rudman & Dowd LLP, Boca
Raton, Florida; Lynn Lincoln Sarko, Keller Rohrback L.L.P.,
Seattle, Washington; Michael D. Hausfeld, Hausfeld LLP,
Washington, D.C.; Jayne Conroy, Simmons Hanly Conroy LLC, New
York, New York; Roxanne Barton Conlin, Roxanne Conlin &
Associates P.C., Des Moines, Iowa; Joseph F. Rice, Motley
Rice LLC, Mount Pleasant, South Carolina; Michael Everett
Heygood, Heygood Orr & Pearson, Irving, Texas; Adam J.
Levitt, Dicello Levitt & Casey LLC, Chicago, Illinois;
Frank Mario Pitre, Cotchett Pitre & McCarthy LLP,
Burlingame, California; James E. Cecchi and Carella, Byrne,
Cecchi Olstein Brody & Agnello P.C., Roseland, New
Jersey; David Boies, Boies Schiller & Flexner LLP,
Armonk, New York; W. Daniel "Dee" Miles III,
Beasley Allen Law Firm, Montgomery, Alabama; Benjamin L.
Bailey, Bailey Glasser LLP, Charleston, West Virginia; Steve
W. Berman, Hagens Berman, Seattle, Washington; Rosemary M.
Rivas, Levi & Korsinsky LLP, San Francisco, California;
David Seabold Casey Jr., Casey Gerry Schenk Franca Villa
Blatt & Penfield LLP, San Diego, California; J. Gerard
Stranch IV, Branstetter Stranch & Jennings, PLLC,
Nashville, Tennessee; Lesley E. Weaver, Bleichmar Fonti &
Auld LLP, Oakland, California; Roland K. Tellis, Baron &
Budd P.C., Encino, California; for Plaintiffs-Appellees.
Sharon
Nelles (argued), Andrew J. Finn, William B. Monahan, and
Robert J. Giuffra, Jr., Sullivan & Cromwell LLP, New
York, New York, for Defendants-Appellees.
Before: MILAN D. SMITH, JR. and JACQUELINE H. NGUYEN, Circuit
Judges, and JANE A. RESTANI, [*] Judge.
SUMMARY
[**]
Attorneys'
Fees / Class Action
The
panel affirmed the district court's order denying the 244
motions for attorneys' fees filed by non-class counsel,
arising from an underlying class action that secured a
settlement of more than $10 billion and an additional award
of $175 million in fees for class counsel, in a
multi-district litigation concerning claims predicated on
Volkswagen's use of defeat devices in certain VW and Audi
diesel vehicles.
The
panel held that appellants, who were law firms and lawyers
that appealed in their own names (with the exception of
appellant Ronald Clark Fleshman, Jr. who joined his
attorney's appeal), had standing to challenge the fee
order. The panel concluded, as a matter of first impression,
that appellants had standing because they suffered an injury
(deprivation of attorneys' fees) that was caused by the
conduct complained of (the fee order) and would be redressed
by judicial relief.
Federal
Rule of Civil Procedure 23 permits an award of fees when
authorized by law or the parties' agreement, and courts
have an independent obligation to ensure that the award, like
the settlement itself, is reasonable. Because the underlying
class action did not feature a traditional common fund from
which attorneys' fees were procured, appellants could
only have collected fees if they provided a substantial
benefit to the class. The panel concluded that the district
court did not abuse its discretion when it determined that
the efforts of non-class counsel for which they sought fees
did not benefit the class such that they would be entitled to
compensation.
The
panel rejected three additional arguments advanced by Nagel
Rice LLP and others (the Nagel Appellants). The panel held
that the district court's order supplied the necessary
level of explanation for its decision. The panel also held
that there was no agreement between the parties, either
explicit or implicit, that Volkswagen would compensate the
Nagel Appellants for their efforts. Finally, the panel held
that the Nagel Appellants improperly invoked quantum meruit
where non-class counsel did not substantially benefit the
class; and no unjust enrichment occurred.
Appellant
James Ben Feinman's separate brief challenged the
district court's injunction enjoining efforts to assert
attorney fee lien claims under State law. The panel held that
because the district court vacated the lien order and its
injunction, all of the issues contained in Feinman's
brief were rendered moot, and the panel need not consider
them.
OPINION
M.
SMITH, Circuit Judge:
Appellants
are lawyers and law firms that represented class members in
an underlying class action that secured a settlement of more
than $10 billion and an additional award of $175 million in
fees for class counsel. Non-class counsel filed 244 motions
for attorneys' fees. In a single order, the district
court denied all of the motions, determining that the lawyers
neither performed common benefit work nor followed the proper
procedures for compensation. We affirm.[1]
FACTUAL
AND PROCEDURAL BACKGROUND
I.
Factual Background
On
September 18, 2015, the Environmental Protection Agency (EPA)
issued a Notice of Violation (NOV) in which it alleged that
Defendants-Appellees Volkswagen Group of America, Inc.,
Volkswagen, AG, and Audi, AG (collectively, Volkswagen) used
"defeat devices" in 500, 000 Volkswagen- and
Audi-branded TDI "clean diesel" vehicles. As the
district court later explained,
[T]he defeat device produces regulation-compliant results
when it senses the vehicle is undergoing testing, but
operates a less effective emissions control system when the
vehicle is driven under normal circumstances. It was only by
using the defeat device that Volkswagen was able to obtain
Certificates of Conformity from EPA and Executive Orders from
[the California Air Resources Board] for its TDI diesel
engine vehicles. In reality, these vehicles emit nitrogen
oxides ("NOx") at a factor of up to 40 times over
the permitted limit.
Two
months later, the EPA issued a second NOV to Volkswagen and
Defendant-Appellee Porsche Cars of North America, Inc., which
implicated the companies' 3.0-liter diesel engine
vehicles.
II.
Procedural Background
A.
Commencement of Lawsuits
Soon
after the issuance of the NOVs, consumers nationwide
commenced hundreds of lawsuits. One such action was
spearheaded by Appellant Nagel Rice, LLP (Nagel Rice), an
illustrative law firm that represented forty-three Volkswagen
owners from various states. Nagel Rice filed a complaint in
New Jersey federal court on September 21, 2015-three days
after the issuance of the first NOV and two months before the
eventual consolidation of all related cases. During this
early representation, Nagel Rice asserts that it performed
various activities related to the litigation, including
conducting research, fielding calls from prospective clients
and the media, and communicating with German legal counsel
regarding potential jurisdictional and evidentiary issues.
Eventually,
on December 8, 2015, the Judicial Panel on Multidistrict
Litigation consolidated the various lawsuits and transferred
them to the U.S. District Court for the Northern District of
California. Ultimately, the district court received more than
one thousand Volkswagen cases as part of this multidistrict
litigation (MDL), titled In re Volkswagen "Clean
Diesel" Marketing, Sales Practices, & Products
Liability Litigation, MDL 2672.
B.
Pretrial Orders
On
December 9, 2015-the day after the consolidation and
transfer-the district court issued its first pretrial order
(PTO), in which it announced its intent "to appoint a
Plaintiffs' Steering Committee(s) to conduct and
coordinate the pretrial stage of this litigation with the
defendants' representatives or committee." Nagel
Rice was one of the firms that submitted papers to be
selected either as Lead Counsel or as a member of the
Plaintiffs' Steering Committee (PSC).
The
district court selected a twenty-one-member PSC following the
application process, and appointed it and Lead Counsel
(together, Class Counsel) in its seventh PTO (PTO No. 7).
This PTO asserted that "as to all matters common to the
coordinated cases, and to the fullest extent consistent with
the independent fiduciary obligations owed by any and all
plaintiffs' counsel to their clients and any putative
class, [] pretrial proceedings shall [be] conducted by and
through the PSC."
In its
eleventh PTO (PTO No. 11), filed on February 25, 2016, the
district court outlined its protocol for common benefit work
and expenses. The court explained that "[t]he recovery
of common benefit attorneys' fees and cost reimbursements
will be limited to 'Participating Counsel, '"
which it defined as
Lead Counsel and members of the Plaintiffs' Steering
Committee (along with members and staff of their respective
firms), any other counsel authorized by Lead Counsel to
perform work that may be considered for common benefit
compensation, and/or counsel who have been specifically
approved by this Court as Participating Counsel prior to
incurring any such cost or expense.
It
further elaborated that "Participating Counsel shall be
eligible to receive common benefit attorneys' fees and
reimbursement of costs and expenses only if the time
expended, costs incurred, and activity in question were (a)
for the common benefit of Plaintiffs; (b) timely submitted;
and (c) reasonable." As to the first
requirement-"for the common benefit of
Plaintiffs"-the district court explained that
[o]nly Court-appointed Counsel and those attorneys working on
assignments therefrom that require them to review, analyze,
or summarize those filings or Orders in connection with their
assignments are doing so for the common benefit. All
other counsel are reviewing those filings and Orders for
their own benefit and that of their respective
clients and such review will not be considered Common
Benefit Work.
(emphasis added). Class Counsel later reported that
"Lead Counsel took advantage of the authority granted in
PTO 7 to enlist and authorize nearly 100 additional firms to
perform the necessary common benefit work, which was then
tracked pursuant to the protocol set forth in PTO
11."[2]
The
PTOs' guidance notwithstanding, Nagel Rice claims that,
although it was not selected to be Lead Counsel or a member
of the PSC, it "appeared telephonically in almost every
court appearance relative to the case and provided continual
updates to clients via email," and "fielded scores
of telephone calls from clients and other class members
seeking information relative to the settlement and the
process for submitting objections and claims."
Similarly, another lawyer, Appellant James Ben Feinman,
extensively litigated on behalf of 403 individual clients in
Virginia state and federal courts, in addition to monitoring
the MDL. There is no indication in the record that Nagel
Rice, Feinman, or any other Appellants fully complied with
the PTOs in performing these efforts.
C.
Settlement Process
Class
Counsel, along with ninety-seven additional plaintiffs'
firms that Lead Counsel enlisted pursuant to PTO
No.
11, embarked on an aggressive settlement process that, in the
words of Settlement Master Robert S. Mueller III,
"involved at least 40 meetings and in-person conferences
at various locations, including San Francisco, New York City,
and Washington, DC, over a five-month period. A number of
these sessions lasted many hours, both early and late, and
weekends were not excluded." The efforts undertaken by
this group included drafting a 719-page consolidated class
action complaint, selecting class representatives, requesting
and reviewing more than 12 million pages of Volkswagen
documents, and conducting settlement negotiations.
The
district court preliminarily approved the resulting
Consolidated Consumer Class Action Settlement (the
Settlement) on July 29, 2016. In their motion for preliminary
approval, the class action's plaintiffs (Plaintiffs)
asserted that "[n]one of the settlement benefits for
Class Members will be reduced to pay attorneys' fees or
to reimburse expenses of Class Counsel. Volkswagen will pay
...