Fourth Circuit Holds that SOL Defense Requires Individual Determinations that Prevent Class Certification

BNA’s Class Action Litigation (volume 07 Number 04, Fri., Feb. 24, 2006, Page 114, ISSN 1529-8000) is reporting on Thorn v. Jefferson-Pilot Life Ins., Co., --- F.3d ----, 2006 WL 335892 (4th Cir. Feb. 15, 2006):

A suit alleging an insurance company over a 60-year period charged more than 1 million black policyholders higher premiums than white policyholders for similar life insurance policies cannot be maintained as a class action, the U.S. Court of Appeals for the Fourth Circuit held Feb. 15. . . .

The insurer's statute of limitations defense requires individual determinations that cannot be resolved on a classwide basis under Fed. R. Civ. P. 23(b)(3), Judge Karen J. Williams explained. The court also held that the insureds' request for equitable relief in the form of restitution cannot be certified for class treatment under Rule 23(b)(2).