Category Archives Missouri Supreme Court

In 2009, Robert Eaton purchased a manufactured home from CMH.  The purchase contract contained a clause required Mr. Eaton to arbitrate all claims for any dispute arising out of the purchase of the home, but contained a clause that specifically reserved the right for CMH to pursue a lawsuit in court to foreclose upon any collateral, to obtain a monetary judgment, or to enforce the security agreement. Furthermore, this reserve clause contained “anti-waiver” language that stated CMH’s right to bring such a lawsuit did not constitute a waiver to compel arbitration regarding any other dispute related to the contract. Several years later, Mr. Eaton filed suit in Lincoln County circuit court, alleging that his manufactured home was defective and that CMH misrepresented the home as new at the time of sale.  CMH moved to dismiss and compel arbitration pursuant to the sale contract, but the trial court overruled CMH's motion to compel arbitration. The…

In Berry v. Volkswagen Group of America, Inc., 2013 WL 1421604 (Mo., April 13, 2013), the Missouri Supreme Court affirmed an award of $6,174,640.00 in class counsel fees where the class recovered a grand total of $125,261.00. Because our firm submitted an amicus brief in this case, we will keep the report of this decision factual. That case involved an MMPA class settlement for allegedly defective window regulators, resulting in the settlement of a 22,304 member class eligible for payments of $75.00 each. But after notice was mailed out the class members, only 177 claims were made and only 130 paid. Class counsel submitted a bill for 7,910 hours billed at rates ranging from $200 for staff to between $252-$650/hour for counsel, calculated the lodestar at $3,087,320.00, and asked for a 2.6 multiplier. The trial court limited the multiplier to 2.0, resulting in $6,174,640.00 in fees, plus costs. Volkswagen appealed.…

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