Filed under: Jewelry
In a 75-page ruling, Judge Kent A. Jordan accepted an appeal made by 34 of the indirect purchasers, which said that purchasers had claims under widely varying state laws and that some of those plaintiffs would be barred from pursuing the claims under the laws of their own states. A comprehensive piece on Law.com explains that a single objector from Texas had exposed a fatal flaw in the lower court's class certification analysis. The variation in state laws represents an "insurmountable hurdle to certification of the indirect purchaser class" according to Judge Jordan.
Under the terms of the indirect purchaser settlement, De Beers had agreed not to contest certification of a settlement class of indirect purchasers and promised to establish a settlement fund of $250 million to be paid to class members of that class. In May 2008, U.S. District Court Judge Stanley R. Chesler granted final approval to the settlement but the appeal said that Chesler had been too quick to certify the class as a whole, ignoring the various state laws that precluded some members for pursuing an indirect purchaser claim.The case has been returned to the U.S. District Court in New Jersey for further consideration which means that anyone expecting a payout in this case is going to have to wait a while longer.