Class Action Fairness Act of 2005 — a law intended to prevent abuses associated with class action lawsuits. The Act
places class action cases under federal jurisdiction (previously, such cases
were within the jurisdiction of state courts), provided the amount at issue is
greater than $5 million. The Act also makes it more difficult for plaintiffs to
go "forum shopping" in search of jurisdictions known for class action
lawsuit abuses. Another important provision within the Act contains procedures
for judicial review of attorneys' fees, which are often excessive relative
to the recoveries received by plaintiffs. Opponents of the Act have asserted
that these changes will deny aggrieved persons their day in court by making it
much more difficult to bring class action suits and that taking such cases out
of state court jurisdiction will clog the federal courts' dockets.