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Shady Grove Orthopedics Associates v. Allstate Insurance Co.

Docket No.: 08-1008
Certiorari Granted: May 4 2009
Argued: November 2, 2009
Decided: March 31, 2010

PartyNames: Shady Grove Orthopedic Associates, P.A. v. Allstate Insurance Company
Petitioner: Shady Grove Orthopedic Associates, P.A.
Respondent: Allstate Insurance Company

Court Below: United States Court of Appeals for the Second Circuit

Shady Grove Orthopedic Associates, P.A.
v.
Allstate Insurance Company
Question Presented:

1. Can a state legislature properly prohibit the federal courts from using the class action device for state law claims? 2. Can state legislatures dictate procedure in the federal courts? 3. Could state-law class actions eventually disappear altogether, as more state legislatures declare them off limits to the federal courts?

Question:

1) Can a state legislature prohibit federal courts from using a federal class action rule for a state law claim? 2) Can a state legislature dictate civil procedure in federal courts?

Holding: reversed and remanded
Vote: 5-4
Opinion By: Justice Antonin Scalia
Read SHADY GROVE ORTHOPEDICS ASSOCIATES V. ALLSTATE INSURANCE CO. opinion (PDF)